When the production of a good results in a positive externality(such as education) the social value demand curve is
A. To the left of the demand curve, indicating that the total value to society is less than the private benefit.
B. To the right of the market demand curve, indicating that the total value to society is greater than the private benefit
C. Identical to the market demand curve, indicating that the total cost to society is the equal to the private benefit
D. To the left of the market supply curve, indicating that the total cost to society exceeds the private cost
Answer: B. To the right of the market demand curve, indicating that the total value to society is greater than the private benefit
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In a graph showing the market supply and demand for British pounds in terms of U.S. dollars, the supply-of-pounds curve is upward-sloping because ________.
A. fewer British pounds can be purchased per dollar if U.S. dollars become more expensive B. fewer U.S. dollars can be purchased per pound if British pounds become less expensive C. the British will purchase more U.S. goods or services when the dollar price of pounds falls D. the British will purchase more U.S. goods or services when the dollar price of pounds rises
Economists and accountants have very different definitions of profit.
Answer the following statement true (T) or false (F)
Between 1810 and 1860 the number of workers in manufacturing
a. doubled. b. tripled. c. increased fivefold. d. increased tenfold. e. increased twentyfold.
Government spending on a transfer payment is illustrated by
a. interstate highways b. elementary and high school education c. community colleges d. land-grant universities e. agricultural subsidies