Which one of the following statements is false if we increase the discount rate used to allocate a resource across two time periods?
a. The resource will tend to be used up quicker
b. The price of the resource will tend to rise faster
c. Current consumption of the resource will increase
d. The appropriate resource depletion tax will increase
e. Future supplies of the resource will decrease
Ans: d. The appropriate resource depletion tax will increase
Economics
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According to the theory of _____, people look at past experiences and gradually adapt their beliefs and behavior as circumstances change
a. adaptive expectations b. rational expectations c. sticky wages d. absolute advantage
Economics
________: level of output at which average variable costs equal average revenue or the market price
Fill in the blank(s) with correct word
Economics