The labor demand curve of a firm that sells its product in a purely competitive market:

Refer to the figure above. If the government was to auction quota licenses competitively, it could earn up to

A) $2000. B) $5000. C) $6000. D) $10000.

The Indian government constructs houses for the homeless, to move them out of the slums. Soon as these houses are constructed, the homeless, rent them out and moved to another slum. Where could the policy have gone wrong? a. The policy would have been much more effective had the poor been given the cash equivalent of the house, to allocate effectively by themselves. b. The government did not

allocate the funds to their highest use, as per the needs of the homeless. c. The government failed to run the policy effectively. d. Both A & B