44. The endangered species act has:
a. had no impact on the number of endangered or other economic activities
b.causeed a loss of economic activities on some private land
c. further reduced the number of endangered species
d. saved all endangered species without affecting anyone
42. Which type of property would experience pollution?
a. common property
b. private property
c. corporate property
d. property help in partnership
41. One difficulty in using voluntary transactions to internalize externalities is that:
a. people usually don't understand what real opportunity cost is and that they face
b. people are motivated by self-interest and are often unwilling to engage in a transaction that might make another person better off
c.transactions costs of coming to an agreement can be very large when numerous people are involved
d.the government will not usually enforce contracts of this type
37. If pollutants from smokestacks in a city such as Newark cause people to paint their homes and cars more frequently, this implies:
a. external costs on home and car owners
b. internal cost to home and car owners
c. external benefits to the home and car owners
d. none of the above
35. If a good is produced by firms that incur all private and external costs, the price consumers pay:
a. will be too high because the consumers end up paying all of the costs instead of the firm
b. will be too low
c. will be efficient since it includes all social costs
d. will be the correct but inefficient
44. The endangered species act has:
a. had no impact on the number of endangered or other economic activities
b.causeed a loss of economic activities on some private land
c. further reduced the number of endangered species
d. saved all endangered species without affecting anyone
42. Which type of property would experience pollution?
a. common property
b. private property
c. corporate property
d. property help in partnership
41. One difficulty in using voluntary transactions to internalize externalities is that:
a. people usually don't understand what real opportunity cost is and that they face
b. people are motivated by self-interest and are often unwilling to engage in a transaction that might make another person better off
c.transactions costs of coming to an agreement can be very large when numerous people are involved
d.the government will not usually enforce contracts of this type
37. If pollutants from smokestacks in a city such as Newark cause people to paint their homes and cars more frequently, this implies:
a. external costs on home and car owners
b. internal cost to home and car owners
c. external benefits to the home and car owners
d. none of the above
35. If a good is produced by firms that incur all private and external costs, the price consumers pay:
a. will be too high because the consumers end up paying all of the costs instead of the firm
b. will be too low
c. will be efficient since it includes all social costs
d. will be the correct but inefficient
