One way to eliminate the Tragedy of the Commons is to
a. increase law enforcement in public areas.
b. limit access to the commons.
c. increase access to the commons.
d. decrease taxes.
b
You might also like to view...
Discontinuing a Generic Drug Prescott Pharmaceuticals makes a number of generic versions of drugs. When Cymbalta (Duloxetine) lost its patent, Prescott invested $500,000 to obtain FDA approval and $100,000 to certify one of its production lines for its
production. Production of the drug will cost $2,000,000 . Marginal costs for the tablet are $0.10 and they sell for $0.40 per tablet. But many firms have entered and now make Duloxetine causing sales to fall off. Prescott anticipates that it could use this production line for other drugs losing patent protection shortly. If forecasted sales are 5 million tablets, what is the breakeven price? Should Prescott discontinue selling this product?
If the Fed buys a T-bill from an individual rather than from a bank, the effect on the money supply is
a. smaller because there is no multiplier process. b. larger because of the multiplier process. c. the same. d. impossible to predict without knowing the value of the multiplier.