In order for large countries to successfully use tariffs to increase well-being,
A) they must have significant market power .
B) the deadweight loss created by the tariff must be greater than the government revenue the tariff generates.
C) domestic production must increase more significantly than for the small country case.
D) domestic consumption and imports must decrease more significantly than in the small country case.
A
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When private companies offer health insurance to their employees the insurance carrier they contract with typically requires that all employees be obligated to participate and pay premiums whether they wish to or not
What problem is the health insurance company trying to avoid? How does this policy mitigate this problem?
Which of the following would shift the supply curve for MP3 players to the right?
A) an increase in the price of a substitute in production B) an increase in consumer income (assuming that all MP3 players are normal goods) C) a decrease in the number of firms that produce MP3 players D) a decrease in the price of an input used to produce MP3 players