The above table shows marginal costs and marginal benefits of clean air in a particular industrial area. In the table, when the quantity of clean air is at 25 percent
A) the quantity of polluted air is 25 percent.
B) the marginal benefit of clean air exceeds the marginal cost.
C) the marginal benefit of clean air is less than the marginal cost.
D) the quantity of clean air is optimal.
B
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Per-unit transaction costs
a. may cause the demand and supply curves to shift either inward or outward depending on the value obtained from transaction agents. b. refer only to the commission paid to a third party for each transaction made. c. are absorbed by the party seeking the transaction. d. have the same effect on behavior as do lump-sum transaction costs; the difference in terminology is purely definitional.
The United States 2007 Gross-Public-Debt to GDP ratio is
a. similar to the ratios in most of the OECD countries b. considerably higher than it is in most OECD countries c. considerably lower than it is in most OECD countries d. considerably higher than it was in 1990 e. considerably lower than it was in 1990