Before considering any public project, the government should (i) compare the total cost and total benefits of the project. (ii) conduct a cost-benefit analysis. (iii) infer that citizens who vote for a project are willing to pay equally for it

Payments to nonowners of a firm are called:

a. implicit costs. b. accounting costs. c. explicit costs. d. economic costs.

During the last four decades,

a. the total expenditures of Americans on health care have been relatively constant. b. the share of health-care expenditures covered by a third party (either the government or an insurance company) has increased substantially. c. the prices of health-care services have risen but not as rapidly as the general level of prices. d. health-care providers have lowered prices in response to the rapid increase in medical technology.