Biology Forums - Study Force

Marginal social cost is equal to
 a. total private cost
  b. marginal private cost
  c. marginal external cost
  d. marginal private cost plus marginal external cost
  e. marginal private cost divided by marginal external cost

QUESTION 2

As the price of land decreases along its demand curve, the relative price of land
 a. increases because the prices of other resources have also decreased
  b. decreases because the prices of other resources have also decreased
  c. increases because the prices of other resources have increased
  d. decreases because the prices of other resources are held constant
  e. remains constant because the prices of other resources also increase

QUESTION 3

When the free market produces less than the socially optimal quantity of a good,
 a. negative externalities must be present
  b. marginal social cost must exceed marginal private cost
  c. marginal private benefit must exceed marginal social benefit
  d. the government should tax production of the good
  e. there has been a market failure

QUESTION 4

What is true along the demand curve for a resource?
 a. Prices of other resources are assumed constant.
  b. The marginal product of that resource remains constant.
  c. Total cost of production is assumed constant.
  d. The price of that particular resource is assumed constant.
  e. The quantity of that particular resource is assumed constant.

QUESTION 5

When competitive market equilibrium determines a level of output for which the marginal social cost exceeds the marginal social benefit, the private equilibrium results in
 a. a positive externality
  b. a Coase equilibrium
  c. underproduction of the product
  d. a market failure
  e. external benefits

QUESTION 6

As the price of a resource (e.g., labor) decreases,
 a. demand for that resource increases
  b. the quantity demanded of that resource decreases
  c. the supply of that resource increases
  d. producers are more willing and able to hire that resource
  e. producers are less willing and able to hire that resource

QUESTION 7

Marginal external costs are
 a. additional unpriced costs imposed on society by producing one more unit of a good
  b. the cost of damaged goods
  c. the additional cost of imported goods
  d. the total cost to society of producing a good
  e. the marginal cost divided by the marginal revenue

QUESTION 8

In the resource market, firms demand resources in order to
 a. maximize profit
  b. maximize total revenue
  c. maximize marginal revenue
  d. maximize utility
  e. minimize cost

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This helps so much, thank you for responding so quickly...

No worries, I was online and bored :lol: