The Coase Theorem states that ________
A) positive externalities lead to higher market prices
B) negative externalities lead to lower equilibrium output
C) transaction costs are higher in free markets
D) negotiation between economic agents leads to an efficient allocation of resources
D
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In the above table, the technique that is not technologically efficient is
A) A. B) B. C) C. D) D.
Assume the government reduces your welfare check by $1 for every $2 that you earn on the job while on welfare. How will this tax affect your labor supply decisions? What is the implicit tax rate of such a policy?
What will be an ideal response?
What happens to the price of the product and total revenue for a perfectly competitive firm if it doubles the amount of output it supplies in the market?
What will be an ideal response?
Compared to other countries, the U.S. economy has the ____________ GDP in the world.
a. largest b. smallest c. flattest d. weakest