Suppose that a per-unit subsidy is granted to each individual who consumes a product providing external benefits to society at large. Each individuals demand curve will shift ________, and the market demand curve for the product will shift ________
A) to the right; to the right
B) to the right; to the left
C) to the left; to the left
D) to the left; to the right
Answer: A) to the right; to the right
Economics
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The portion of ________ that a bank does not loan out or spend on securities is known as ________
A) deposits; reserves B) loans; reserves C) deposits; securities D) loans; securities
Economics
The perfectly discriminating monopolist will produce the
(a) quantity at which average cost exceeds marginal revenue. (b) quantity at which marginal cost equals average cost. (c) quantity at which marginal revenue equals marginal cost. (d) quantity and price which is not necessarily profit-maximizing but in the best interest of society at large, even if it means loss.
Economics