Which of the following activities, if any, represents an external cost?
a. The benefits that accrue to society when an individual receives a college education
b. The increase in property values of vacant lots in an area near where a new amusement park is constructed.
c. The pollination of apple trees that occurs when a beekeeper locates next door to an apple orchard.
d. None of the above
d
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The supply of money in the U.S. economy is determined primarily by
A) the demand for money in the economy. B) the actions of the Federal Reserve and the banking system. C) decisions made by the Federal Reserve and the U.S. Treasury. D) consumers and the banking system.
If the production of a good causes an external cost, then the efficient quantity is
A) equal to the quantity at which the marginal benefit equals marginal cost. B) less than the quantity at which the marginal benefit equals the marginal cost. C) more than the quantity at which the marginal benefit equals the marginal cost. D) the quantity at which the marginal private benefit is greater than the marginal social benefit. E) None of the above answers is correct.
Another name for the contractionary phase of a business cycle is recession
a. True b. False Indicate whether the statement is true or false
Which form of intellectual property protects a drug manufacturer against a rival stealing its formula?
A. Trademark B. Copymark C. Copyright D. Patent