An individual in the US wants to buy a car from England which costs 12,000 pounds. If the exchange rate is 1 pound = $1.75, how much would the car cost him in dollars?

The creation of new property forms (such as privatizing a public beach) is one answer to __________ because it would reduce _________

a. government failure; market failure b. market failure; government failure c. the creation of third parties; public choice d. dealing with externalities; the number of third parties e. the inefficiencies of the market; special interests

In the basic Keynesian model, a tax increase:

A. increases short-run equilibrium output. B. reduces potential output. C. increases potential output. D. reduces short-run equilibrium output.