In pure competition, the marginal revenue of a firm always equals:

The ERM crisis in ______ affected the ability of nations to ______.

A) 2001; fully fund their military forces B) 1996; allow labor to migrate between nations C) 1980; maintain a healthy banking system D) 1992; maintain fixed exchange rates without drastic domestic measures

An appropriate government policy toward negative externalities is to

A. subsidize the activity that creates the negative externality. B. impose a tax or fine on the activity that creates the negative externality. C. pay money to the party that creates the negative externality. D. impose a tax on recipients of the negative externality.