The optimal subsidy for private giving to a public good increases as the number of people benefiting from the public good increases.
Answer the following statement true (T) or false (F)
True
Rationale: The optimal subsidy is equal to the sum of the marginal benefits of a dollar of giving for everyone other than the "giver" -- which increases as the number of "others" increases.
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The short-run Phillips curve shifts when
A) the actual inflation rate changes and also when the expected inflation rate changes. B) the inflation rate increases and also when the unemployment rate decreases. C) the expected unemployment rate changes and also when the expected inflation rate changes. D) the natural unemployment rate changes and also when the expected inflation rate changes. E) the actual unemployment rate changes and also when the expected unemployment rate changes.
Refer to the figure above. What is the change in total revenue due to a price increase from $3 to $5?
A) The total revenue increases by $100. B) The total revenue decreases by $100. C) The total revenue increases by $200. D) The total revenue decreases by $200.