In the above figure, if a firm is cleaning up Q4 units of pollution, it is an
A) efficient solution, because marginal social benefits are greater than marginal social costs.
B) efficient solution, because marginal social benefits are equal to marginal social costs.
C) inefficient solution, because marginal social benefits are greater than marginal social costs.
D) inefficient solution, because marginal social costs are greater than marginal social benefits.
D
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Why do airlines often charge students and vacationers a lower price than business travelers?
a. It is cheaper to provide airline service to students and vacationers than to business travelers. b. The demand of business travelers is generally more elastic than the demand of students and vacationers. c. The demand of students and vacationers is generally more elastic than the demand of business travelers. d. Airlines prefer to deal with students and vacationers rather than business travelers.
John Maynard Keynes described economics as an easy subject at which very few excel. Which of the following is not one of the reasons Keynes gave for why so few people excel at the study of economics?
a. An economist must also be a mathematician, historian, statesman, and philosopher in some degree. b. An economist must understand symbols and speak in words. c. An economist must be purposeful and disinterested in a simultaneous mood. d. An economist must understand environmental science, regulation, and political science.