If demand for clean water is specified as P = 140 – 2Q, and the market price is $40, then consumer surplus at that price level is

An external benefit is a benefit from a good or service that someone other than the ________ receives

A) seller of the good or service B) government C) foreign sector D) consumer E) market maker

A key aspect of the principal-agent problem is that

A) the principal cannot perfectly monitor the agent's actions. B) the principal can perfectly monitor the agent's actions. C) the output level does not depend on the agent's actions. D) the principal is always risk-averse.