Suppose two neighborhoods (A and B) have identical housing, but neighborhood A has a strictly enforced deed restriction that prohibits homeowners from parking junk cars in the front yard
If houses in neighborhood A sell for $105,000 and houses in neighborhood B sell for $100,000, how would an economist value the external cost of visible junk cars, per house? A) $205,000
B) $105,000
C) $100,000
D) $5,000
E) None of the above answers is correct.
D
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Which of the following is not true with regard to mutual funds? a. Some mutual funds allow investors to invest in all stocks in a given market
b. Mutual fund returns are greater than those for an individual who selects his/her own stocks. c. They allow individuals to spread risk across many different companies. d. Investors gain access to the services of a financial expert.
An indifference curve shows various combinations of two factors of production that give the same level of output per unit of time
a. True b. False Indicate whether the statement is true or false