Economists believe that externalities can be cured by market methods

a. True
b. False
Indicate whether the statement is true or false

True

Economics

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Holding other factors constant, building an on-line job database to help workers find jobs would likely

A) reduce cyclical unemployment and the natural rate of unemployment. B) reduce structural unemployment and the natural rate of unemployment. C) reduce frictional unemployment and the natural rate of unemployment. D) increase the natural rate of unemployment.

Economics

Minimax Motors, a car manufacturer, can produce 1,200 cars per week in its new plant that has 25 assembly lines and 450 workers. If Minimax Motors adds 50 new workers to their plant, it can produce 1,300 cars per week. This decrease in average productivity occurs because of: a. diminishing marginal returns of workers

b. diminishing marginal returns of assembly lines. c. diminishing marginal returns of both workers and assembly lines. d. diminishing marginal returns of the management team.

Economics