When a tax is imposed on a good or a service, the marginal benefit of the last unit bought ________ the marginal cost of the last unit
A) is equal to
B) is greater than
C) is less than
D) None of the above answers is correct because there is no consistent relationship between the marginal benefit of the last unit and its marginal cost.
E) is not able to be compared to
B
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Net exports equal the
A. value of exports minus the value of imports. B. value of imports minus the value of exports. C. total value of all government produced exports. D. total value of all exports.
The production possibilities frontier model assumes which of the following?
A) Labor, capital, land, and natural resources are unlimited in quantity. B) The economy produces only two products. C) Production of any level of the two products that the economy produces is currently possible. D) The level of technology is variable.
Which policy is likely to be the most efficient in dealing with automobile emission pollution?
A. Subsidizing research and development for alternative forms of transportation B. Voluntary emission control guidelines C. A mandatory requirement to reduce pollution D. An emission tax
Inflation burdens those individuals living on fixed incomes
Indicate whether the statement is true or false