Explain the effects of an import quota on domestic production, consumption, and price
What will be an ideal response?
An import quota raises the domestic price of the product. The higher price increases domestic production and decreases domestic purchases.
Economics
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To maximize profit, a firm hires the quantity of labor that makes the ________ of labor equal to the ________
A) value of marginal product; wage rate B) total revenue; total cost of labor C) marginal product; total cost of labor D) marginal product; marginal revenue
Economics
Without government intervention, society is likely to get too little production of: i. private goods that generate external costs ii. private goods that generate external benefits iii. public goods
a. (i) only b. (ii) only c. (iii) only d. both (ii) and (iii)
Economics