When the rental price of capital is above the equilibrium price ________
A) we have an excess supply of capital and the rental price should fall
B) we have an excess demand of capital and the rental price should fall
C) we have an excess supply of capital and the rental price should increase
D) we have an excess demand of capital and the rental price should increase
E) none of the above
A
Economics
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The deadweight costs of an export tariff have similar interpretations to those of an import tariff
Indicate whether the statement is true or false
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The legal system provided by the government is necessary for the smooth working of markets because
A) it keeps criminals off of the streets. B) it defines and protects property rights. C) it is set up in the U.S. constitution. D) it ensures that producers maximize their profits.
Economics