When gross investment is positive, net investment:
A. Is always zero
B. Must be negative
C. Must be positive
D. May be either positive or negative
D. May be either positive or negative
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John raises bees to pollinate his orchard. A couple of bees which escaped ended up pollinating his neighbor's orchard, so
A) John's neighbor has received an internal cost of John's bee-keeping. B) John's neighbor has received an external cost of John's bee-keeping. C) John's neighbor has received an external benefit of John's bee-keeping. D) None of the above is correct.
For a firm to maximize total profits through price discrimination, it should
a. Firms should charge a low price to high-value consumers and a high price to low-value consumers b. Firms should charge a high price to high-value consumers and a high price to low-value consumers c. Firms should charge a low price to high-value consumers and a low price to low-value consumers d. Firms should charge a high price to high-value consumers and a low price to low-value consumers