Assume that in the economy real GDP grows at a constant rate. There has just been a decrease in the rate of growth of the population. This implies that the

What is the main rationale economists provide for assigning government the responsibility of protecting people against foreign aggressors?

A) It would be too dangerous to allow citizens to keep and bear arms for the purpose of forming militias to defend their communities. B) Most people are patriotic only when the government is involved. C) "National defense" must by necessity be nationalized. D) People will not risk their lives unless government requires them to do so. E) Private providers could not exclude non-payers from the benefits.

When considering setting the transfer price at the market price of a product similar to the intermediate good that is already available on the market

a. It is appropriate to ignore that the market price includes a margin above marginal cost b. Consider whether the product on the market includes costly features your downstream division does not use c. it is OK if the product on the market is inexpensive because its quality is lower than you use d. if it is similar enough, it is justification for you producing it in-house