A benevolent social planner would prefer that the output of good x be increased from its current level if, at the current level of output of good x,
a. social value = private value = private cost < social cost.
b. social cost > private value = social value > private cost.
c. social cost = private cost = private value < social value.
d. social value = private cost = social cost > private value.
c
Economics
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The main reason for the crisis in Argentina in 2001 and 2002, as to do with exchange rate policy, i.e., the continued peg of the exchange rate to the dollar. Discuss
What will be an ideal response?
Economics
Two identical firms compete as a Cournot duopoly. The inverse market demand they face is P = 80 ? 4Q. The cost function for each firm is C(Q) = 8Q. The price charged in this market will be:
A. $32. B. $12. C. $56. D. $48.
Economics