If the tax cost of this proposed project is $300 per person, a majority vote will
a. defeat this project and resources will be underallocated to it.
b. pass this project and resources will be allocated efficiently.
c. pass this project and resources will be overallocated to it.
d. defeat this project and resources will be overallocated to it.
Ans: b. pass this project and resources will be allocated efficiently.
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The quantity effect of a price reduction causes:
A) a decrease in revenue because of a lower price. B) an increase in revenue because of increased sales. C) an increase in labor demand due to increased sales of the product. D) a decrease in labor demand because of a lower price of the final product.
The fee simple form of land ownership in the United States was of English origin
Indicate whether the statement is true or false
If the world price of steel is greater than the U.S. "no-trade" domestic equilibrium price of steel, the United States:
a. will not produce steel. b. will demand steel from the rest of the world. c. will supply steel to the rest of the world. d. will not trade steel. e. will have a shortage of steel in the domestic market.
A factory produces 1,000 radios a year, AVC = $10 and TFC = $5,000 . The factory's TC
a. equals $15. b. equals $5,005. c. equals $15,000. d. cannot be determined from the information given.