Refer to the diagrams in which figures (a) and (b) show demand curves reflecting the prices Alvin and Elmer are willing to pay for a public good, rather than do without it. The collective willingness to pay for the first unit of this public good is:
A. $18.
B. $14.
C. $10.
D. $6.
A. $18.
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Securitization is
A) the process of combining many different debt instruments like home mortgages into a pool of hundreds of thousands of individual contracts and then selling new financial instruments. B) the process of securing loans at the bank. C) the process of combining assets and debt into a pool of individual contracts and then selling new financial instruments. D) the process that FDIC uses to insure.
The greater the degree of specialization in the economy, the: a. easier it is to discover a double coincidence of wants
b. more feasible is a barter system. c. less likely it is that monetary exchange will develop. d. harder it is to negotiate an exchange rate between all pairs of goods. e. more likely it is that individual consumers are self-sufficient.