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Author Question: Dr. Goldfinger decides to invest in companies which he believes can improve the productivity and ... (Read 84 times)

jho37

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Dr. Goldfinger decides to invest in companies which he believes can improve the productivity and efficiency of health care services. What would Dr. Goldfinger need to do to try to achieve allocative efficiency?
 
  A) invest in companies that produce up to the point where the marginal cost of the last unit produced is zero
  B) invest in companies that produce goods and services based on consumer preferences
  C) invest in companies that produce goods and services at the lowest possible cost
  D) invest in companies that fairly distribute their products and services

Question 2

Assume that production from an electric utility caused acid rain and that the government imposed a tax on the utility equal to the cost of the acid rain. This is an example of
 
  A) a Pigovian tax. B) the Coase Theorem.
  C) a transactions cost. D) a Pigovian subsidy.


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javimendoza7

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jho37

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Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)


flexer1n1

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Reply 3 on: Yesterday
Excellent

 

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