A positive externality is the positive effect that:
A. an action has on others that is not taken into account by the decision maker.
B. external forces have on society as a whole.
C. external forces have on a decision maker.
D. an action has on the decision maker.
Answer: A
Economics
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The typical short-run production function is incapable of distinguishing among the different types of labor that might be hired by the firm
Indicate whether the statement is true or false
Economics
Depositors have a strong incentive to show up first to withdraw their funds during a bank crisis because banks operate on a
A) last-in, first-out constraint. B) sequential service constraint. C) double-coincidence of wants constraint. D) everyone-shares-equally constraint.
Economics