Author Question: Economists view pollution as an economic problem that arises because: a. private enterprise always ... (Read 54 times)

debasdf · **on:** Jun 30, 2018

Economists view pollution as an economic problem that arises because:
a. private enterprise always minimizes the amount of pollution produced.
b. profitable firms rarely pollute.
c. as the economy grows, the level of pollution declines.
d. firms that pollute do not pay the full social cost of producing their output.

Question 2

If a household's income rises from 46,000 to 46,700 and its consumption spending rises from 35,800 to 36,400, then its:
a. marginal propensity to consume is 0.86.
b. marginal propensity to consume is 0.99.
c. marginal propensity to consume is 0.98.
d. marginal propensity to save is 0.01.
e. marginal propensity to save is 0.86.