If production of a good creates external benefits, a competitive market will likely produce

a. less output than would maximize profit.
b. more output than would maximize profit.
c. less output than is efficient.
d. more output than is efficient.

C

Economics

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What matters to people is the real value of money or income

Indicate whether the statement is true or false

Economics

Suppose there is a fiscal expansion in the current period. This fiscal expansion will tend to cause a smaller increase in current output when

A) an increase in current output causes an increase in expected future output. B) an increase in the current interest rate causes expectations of expansionary monetary policy in the future. C) an increase in the current interest rate causes an increase in expected future interest rates. D) both A and B E) all of the above

Economics