Exam 3 part 3/2 41-50
A textbook is a private good and the knowledge that one gains from reading the book is a common resource. common resource and the knowledge that one gains from reading the book is a private good. common resource and the knowledge that one gains from reading the book is a public good. Correct! private good and the knowledge that one gains from reading the book is a public good.
b
At all levels of production higher than the point where the marginal cost curve crosses the average variable cost curve, average variable cost Correct! rises.
b
Figure 13-9 The figure below depicts average total cost functions for a firm that produces automobiles. Refer to Figure 13-9. Which curve represents the long-run average total cost? ATCB ATCC Correct! ATCD
b
Governments can grant private property rights over resources that were previously viewed as public, such as fish or elephants. Why would governments want to do so? Correct! to prevent overuse
b
Marcus sells 300 candy bars at $0.50 each. His total costs are $125. His profits are Correct! $25.
b
Market failure associated with the free-rider problem is a result of Correct! benefits that accrue to those who don't pay.
b
Table 13-3 Number of Workers Output Fixed Cost Variable Cost Total Cost 0 0 $50 $0 $50 1 90 $50 $20 $70 2 170 $50 $40 $90 3 230 $50 $60 $110 4 240 $50 $80 $130 Refer to Table 13-3. The marginal product of the second worker is 85 units. 20 units. Correct! 80 units.
b
Table 13-7 The Flying Elvis Copter Rides Quantity Total Cost Fixed Cost Variable Cost Marginal Cost Average Fixed Cost Average Variable Cost Average Total Cost 0 $50 $50 $0 -- -- -- -- 1 $150 A B C D E F 2 G H I $120 J K L 3 M N O P Q $120 R Refer to Table 13-7. What is the value of J? You Answered $220 $110 Correct Answer $25
b
The Tragedy of the Commons describes You Answered an effective cost-benefit analysis. Correct Answer overuse of a common resource relative to its economically efficient use.
b
Who among the following is a free rider? You Answered Bert takes the commuter rail to work, but he purchases the discounted monthly passes rather than buying tickets each day. Oscar goes to Elmo's house to watch a football game on the local television channel. Correct Answer Ernie listens to National Public Radio, but does not contribute to any fundraising efforts.
b
