If too little of a good is being produced in the free market, the production of the good is likely to have a(n) ________ externality
A) positive
B) negative
C) pecuniary
D) absolute
A
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Which of the following pairs of goods would most likely exhibit a cross price elasticity of -1.8?
a. orange juice and grapefruit juice b. coffee and tea c. a bagel and cream cheese d. a van and a sport utility vehicle
The difference between the value of what a firm sells and its cost of producing it is referred to as
a. gross private investment b. value added c. net exports d. value of product e. expenditure approach
What is meant by the term "excess capacity" as it relates to monopolistically competitive firms?
The Great Moderation refers to
a) Dramatic fall in business cycle volatility that occurred from the mid-1980s to the mid-2000s b) The general fall in business cycle volatility after the second world war c) The fall in global output that occurred after 2007 d) Improved monetary policy since the mid-1980s e) Improved fiscal policy since the mid-1980s