Positive externalities arise when
A) an unprofitable firm is shut down.
B) a profitable firm is regulated.
C) tax rates are reduced.
D) production of a good generates benefits that spill over to third parties.
Answer: D
Economics
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As the nominal interest rate increases, the opportunity cost of holding money ________ and the quantity of money demanded ________
A) decreases; decreases B) increases; increases C) decreases; increases D) increases; decreases E) increases; does not change because people need money
Economics
In an economy which produces two goods X and Y, using two inputs L and K, efficient input use occurs when
A) MRTSLKX = MRSLKY B) MRTXY = MRSXY C) MRSX/PX = MRSY/PY D) MRTSLKX = MRTSLKY
Economics