If the government establishes a price floor for agricultural products, then
A) consumers will pay a lower price for the products.
B) consumers will increase the quantity that they are willing to consume.
C) farmers will want to decrease their production.
D) the government will need to purchase the resulting surplus.
E) all of the above
D
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Immigration can either benefit or harm a nation, depending on the following factors, except the:
A. Number of immigrants B. Education, skills, and work ethic of the immigrants C. Rate at which the immigrants can be absorbed by the society D. Blank
The use of chlorofluorocarbons in refrigerators and air conditioners is alleged to cause the destruction of the ozone layer that surrounds the earth and which protects humans from ultraviolet radiation. Output of this substance has been restricted by a licensing system where producers have to bid in the open market for licenses to produce them in specified quantities. This is an example of
dealing with externalities by a. voluntary compliance. b. direct controls. c. taxes. d. the market mechanism.
Suppose an income tax is imposed that takes $2,000 from someone with an income of $20,000, $2,500 from someone with an income of $30,000, and $4,000 from someone with an income of $80,000. This tax would be classified as
A. proportional. B. a flat tax. C. regressive. D. progressive.
Which of the following statements explains when a natural monopoly occurs?
A) Diseconomies of scale occur as ATC decreases over a wide range of output. B) A monopoly owns or controls a resource necessary to produce the product. C) Economies of scale occur as ATC decreases over a wide range of output. D) Economies of scale are obtained from constant costs over a wide range of output.