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| economics is hard, any help with this? its open book so this isnt cheating. im just having tons of trouble. 89. Because monopolistically competitive firms charge a P > MC ______. (Points: 3) monopolistic competition is efficient monopolistic competition is inefficient the marginal benefit to society of an additional unit of output is below its cost B and C are true 90. If a coal-powered electrical generator discharges smoke into the air and causes uncompensated costs and discomfort to residents of a town, this situation is an example of a(n) ______. (Points: 3) quasi-public good external cost external benefit specific tax 91. According to the Coase theorem, when negative externalities are present, a market will ______. (Points: 3) always reach an efficient solution reach an efficient solution if transaction costs are low reach an efficient solution only if the government intervenes in the market reach an efficient solution only if the negative externalities are offset by positive externalities 92. Which of the following is usually associated with a positive externality? (Points: 3) smoking cigarettes purchasing a new CD innovation in the semiconductor industry all of the above |
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| Thread | Thread Starter | Forum | Replies | Last Post |
| Is AP economics hard? | thyplo101 | Economics | 0 | 04-08-2008 12:16 PM |
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