List the five approaches used to solve the problem of externalities
What will be an ideal response?
(1.) Government-imposed taxes and subsidies.
(2.) Private bargaining and negotiation.
(3.) Legal rules and procedures.
(4.) The sale or auction of rights to impose externalities.
(5.) Direct government regulation.
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Which of the following legal subjects is most concerned with the economic function of the legal system?
A) criminal law B) public goods C) antitrust legislation D) civil rights
Which of the following is a common resource?
a. Golden retrievers b. Jersey cows c. Domestic cats d. Panda bears
If productivity growth in Japan exceeds productivity growth in the U.S., to the point that the resource cost in ALL Japanese industries is lower than in the U.S., then
A. there is no feasible way for the U.S. and Japan to continue to trade. B. mutually beneficial trade is possible. C. trade between the U.S. and Japan is possible, but only Japan will benefit from it. D. trade between the U.S. and Japan is possible, but only the U.S. will benefit from it.
The largest single source of revenue for the federal government is the
A. corporate income tax. B. federal excise tax. C. personal income tax. D. Social Security tax.