A per-unit tax designed to internalize the costs of production imposed on third parties is called:
A. a sin tax.
B. an effluent fee.
C. an excise tax.
D. a tariff.
Answer: B
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Everything else held constant, if the expected return on U.S. Treasury bonds falls from 10 to 5 percent and the expected return on GE stock rises from 7 to 8 percent, then the expected return of holding GE stock ________ relative to U.S
Treasury bonds and the demand for GE stock ________. A) rises; rises B) rises; falls C) falls; rises D) falls; falls
Lisa runs a local flower shop, if it rains on Valentine's Day and she opens the shop, she will lose $200. If it does not rain on Valentine's Day, she will earn $500 dollars as profits
The chance of rain is 30%, the standard deviation of the profits Lisa could earn on Valentine's Day is A) 198.17. B) 135.61. C) 432.43. D) 290.
Who was one of the first proponents of employing market economies instead of command economies?
A. Robert Heilbroner. B. Karl Marx. C. Jeffrey Sachs. D. Adam Smith.
In the United States, which of the following is an example of a government-sponsored good?
A. wireless networks B. cable TV service C. community college education D. cigarettes