When consumption of a good or service produces benefits or costs that are not reflected in the market price for the good, this is known as a(n):

Which of the following is an advantage of automatic stabilizers?

A) The lag for automatic stabilizers is relatively long. B) It is much easier to measure the impact of automatic stabilizers compared to the impact of discretionary fiscal policy. C) There is no administrative cost to implementing automatic stabilizers. D) Because they affect disposable personal income directly, automatic stabilizers act swiftly to reduce the degree of changes in real GDP.

A firm that engages in price discrimination must be able to identify the preferences of every

customer it serves. Indicate whether the statement is true or false