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  3. Liberty ECON 213 Quiz 6 Answers Complete Solutions

Contents

  • 1 Liberty ECON 213 Quiz 6 Answers Complete Solutions
      • 1.0.1 Question 1
      • 1.0.2 Question 2
      • 1.0.3 Question 3
      • 1.0.4 Question 4
      • 1.0.5 Question 5
      • 1.0.6 Question 6
      • 1.0.7 Question 7
    • 1.1 STATUS
      • 1.1.1 Question 8
      • 1.1.2 Question 9
      • 1.1.3 Question 10
      • 1.1.4 Question 11
      • 1.1.5 Question 12
      • 1.1.6 Question 13
      • 1.1.7 Question 14
      • 1.1.8 Question 15
      • 1.1.9 Question 16
      • 1.1.10 Question 17
      • 1.1.11 Question 18
      • 1.1.12 Question 19
      • 1.1.13 Question 20

Liberty ECON 213 Quiz 6 Answers Complete Solutions

 

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Question 1

Copyright laws exist to:

Question 2

Externalities are minimized if:

Question 3

To reduce the level of pollution emitted by firms in an industry, the government could use a capandtrade policy or a carbon tax. Which of the following is true?

Question 4

External benefits arise from the actions of:

Question 5

What type of good is often provided by the government because it is hard to get people to voluntarily contribute their fair share of the expense?

Question 6

Your roommate is studying to be a chef and likes to try new recipes. He leaves his delicious creations in the refrigerator for anyone who wants to eat them. The food he leaves is always gone within a day. This is an example of:

Question 7

A good that is nonrival and excludable is defined as a:

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Question 8

Which goods are sold in markets?

Question 9

The thirdparty problem:

Question 10

An internal cost is best defined as the cost of an activity paid for by:

Question 11

A major reason why the market equilibrium for a manufactured good may not be efficient is:

Question 12

The city decides to offer a subsidy to each homeowner’s association that plants more flowers in their common areas. In the market for flowers, this will cause the:

Question 13

Refer to the accompanying figure, which shows the market for fish, to answer the questions that follow.

If the government sets a quota of 300 pounds of fish caught per day and issues a license that entitles the holder to catch 20 pounds of fish per day, then the value of the license is:

Question 14

Consider the accompanying figure to answer the questions that follow.

When a positive externality exists, which point best identifies the social optimum?

Question 15

Consider the following scenario when answering the questions that follow:

Jones owns a factory that is dumping toxic waste into a river where Smith owns a resort. At present, Jones is not filtering the water that he dumps into the river. There is a filter he could install that would remove a significant amount of the toxic elements from the water before it is dumped in the river. Jones and Smith have each assessed the situation and come up with the following data:

If property rights over the river are assigned to Smith, then:

Question 16

Externalities exist because:

Question 17

Consider the following scenario when answering the questions that follow:

Jones owns a factory that is dumping toxic waste into a river where Smith owns a resort. At present, Jones is not filtering the water that he dumps into the river. There is a filter he could install that would remove a significant amount of the toxic elements from the water before it is dumped in the river. Jones and Smith have each assessed the situation and come up with the following data:

If property rights over the river are assigned to Jones, then:

Question 18

The music you buy on the Internet is:

Question 19

Congestion charges cause the price of driving to __________. Therefore, the number of cars on the road will __________.

Question 20

According to the Coase theorem, negative externalities can be internalized if:

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