Which of the following statements is correct?
i. As the economy grows, the opportunity costs of economic growth decrease.
ii. Economic growth has no opportunity cost.
iii. The opportunity cost of economic growth is current consumption forgone.
A) i only
B) ii only
C) iii only
D) i and iii
E) i and ii
C
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Why does the United States regulate automobile manufacturing in so many ways?
(A) To protect the consumer from Japanese and European automobiles. (B) To keep the price of U.S. automobiles competitive with others. (C) To offset the air pollution caused by automobiles. (D) To keep the manufacturers of U.S. automobiles from gaining too much of the market.
Which of the following questions would not be studied by a microeconomist but would be studied by a macroeconomist?
a. Why do national economies grow? b. What percentage of consumer income is spent on entertainment? c. Why do workers prefer the 4-day workweek? d. How is the electric industry harmed by the passage of new clean air legislation?