A situation in which a benefit or a cost associated with an economic activity spills over to third parties is called
A) a public good.
B) a merit good.
C) an externality.
D) the free-rider problem.
C
Economics
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Refer to the above figures. A tariff is placed on a foreign good. Which figures represents the situation in the domestic market for a competing domestic good?
A) Panel A B) Panel B C) Panel C D) Panel D
Economics
Market power guarantees profit
A) True, which is why firm's locate as far away from each other as possible. B) False, market power guarantees price greater than marginal cost. C) True, market power guarantees price greater than average cost. D) False, market power guarantees price equal to average cost.
Economics