In order to encourage domestic saving, it is necessary to have:
a. a laissez faire economy.
b. a balanced fiscal budget.
c. a large number of government subsidies.
d. a stable system of property rights.
e. a highly developed banking system.
d
You might also like to view...
Sellers bear the entire incidence of a tax on a good. This outcome can occur if
A) supply is perfectly inelastic. B) the good is an inferior good. C) demand is perfectly inelastic. D) the demand curve is downward sloping and the supply curve is upward sloping. E) supply is perfectly elastic.
Which situation is most likely to exhibit diminishing marginal returns to labor?
A) a factory that obtains a new machine for every new worker hired B) a factory that hires more workers and never increases the amount of machinery C) a factory that increases the amount of machinery and holds the number of worker constant D) None of these situations will result in diminishing marginal returns to labor.