Refer to the graph shown. The top 20 percent of the families earn:
A. 67.4 percent of the income.
B. 54.7 percent of the income.
C. 32.6 percent of the income.
D. 45.3 percent of the income.
Answer: D
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A lesson from the Brazilian experiment was that:
a. infant industry protection is almost never successful. b. there are many determinants other than market price that also factor into an industry's success—firms had supplier difficulties and were hampered by excessive regulation. c. government usually knows better than the market whether an industry has potential. d. when politicians get involved, rational decisions and good business practices are more difficult.
"Free riding" is a characteristic of which type of good?
A) a private good B) a good that is both rival and excludable C) a public good D) a common resource