Answer to Question #189238 in Macroeconomics for James

Question

QUESTION 9

When the externality of pollution exists:

1. The supply curve no longer represents all social costs.
2. The supply curve continues to represent all social costs.
3. Everybody benefits.
4. Nobody benefits.
5. Society benefits.

QUESTION 10

Economists commonly refer to externalities as an example of:

1. Too many chefs, not enough cooks.
2. In for a penny, in for a pound.
3. A pound of flesh.
4. The aphorism of the apocalypse.
5. Market failure.

QUESTION 11

Command-and-control regulation requires that firms increase their costs:

1. At the expense of society.
2. By installing anti-pollution equipment.
3. By polluting more.
4. By increasing their level of production.
5. All of the above.

QUESTION 12

Command-and-control regulation is inflexible; it usually

1. Requires different standards for all polluters.
2. Requires the same standard for all polluters.
3. Will not bend to consumer preferences.
4. Will reach the worst possible outcome.
5. Cannot even touch its toes.

Answer 1

09.The supply curve no longer represents all social costs.

10.Market failure.

11.By installing anti-pollution equipment.

12.Requires the same standard for all polluters.