Use the above table. What will the tax be when external costs are internalized?
A. $13
B. $12.20
C. $1.80
D. $14
Answer: C
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Referring to Situation #1 suppose that you decide that you have to fire the first and the third executive without hiring any replacements
What would be the opportunity cost of the second executive's work? Explain why your answer is not the same as in the question above.
Explain why most indifference curves are convex
What will be an ideal response?
Refer to the information provided in Figure 27.2 below to answer the question(s) that follow.
Figure 27.2Refer to Figure 27.2. In response to an increase in government spending, the Fed would increase the interest rate by the greatest amount when the aggregate demand curve shifts from
A. AD1 to AD2. B. AD3 to AD4. C. AD5 to AD6. D. AD6 to AD1.
You have found data that indicates that the income elasticity of demand for generic (unbranded) shampoo is -0.7. You should conclude that generic shampoo:
A. has inelastic demand. B. is below its equilibrium price. C. is an inferior good. D. is a normal good.