Which of the following statements is TRUE about the relationship among external, internal and social costs?
A) External cost is the difference between social and internal costs.
B) Internal cost is the sum of social and external costs.
C) Social cost is the difference between internal and external costs.
D) none of the above
Answer: A
Economics
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If the quantity of capital per worker in the economy increases
A) the amount of money held by workers increases. B) labor productivity increases. C) the stock of human capital necessarily increases. D) the stock of financial assets held by the public increases.
Economics
Gallons of milk at a local grocery store are priced at one for $4.00, or two for $6.00 . The marginal cost of buying a second gallon of milk:
a. equals $6.00. b. equals $4.00. c. equals $3.00. d. equals $2.00.
Economics