When the government pays part of my university education, it is
A. using direct regulation to discourage an external cost.
B. subsidizing an external benefit.
C. internalizing an external cost.
D. using taxes to discourage an external cost.
Answer: B
Economics
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Suppose that the introduction of computers increases the productivity of workers in the developed world. What you would expect wages to do?
a. Rise mainly in the developed countries. b. Rise mainly in the developing countries. c. Fall mainly in the developed countries. d. Fall mainly in the developing countries.
Economics
A game in which firms act together to increase their mutual payoff is called a ______.
a. non-cooperative game b. binding contract c. cooperative game d. payoff matrix
Economics