Author Question: If government chooses a policy that does not lead to a Pareto improvement, one may say that A) ... (Read 52 times)

joblessjake

  • Hero Member
  • *****
  • Posts: 555
If government chooses a policy that does not lead to a Pareto improvement, one may say that
 
  A) this policy creates only winners.
  B) this policy creates winners and losers.
  C) only poor people benefit from this policy.
  D) this policy only creates losers.

Question 2

Which of the following statements best explains why long-run average cost is never greater than short-run average cost?
 
  A) In the long run, tangency of the isocost and isoquant is attainable. This is not necessarily true in the short run.
  B) In the long run, diseconomies of scale might not occur, but in the short run diminishing marginal returns do.
  C) In the long run, the cost of capital declines because the firm is able to pay down some of its debts.
  D) In the long run, the average cost curve need not be U-shaped, but in the short run it is.


k2629

  • Sr. Member
  • ****
  • Posts: 357
Answer to Question 1

B

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Inotropic therapy does not have a role in the treatment of most heart failure patients. These drugs can make patients feel and function better but usually do not lengthen the predicted length of their lives.

Did you know?

The heart is located in the center of the chest, with part of it tipped slightly so that it taps against the left side of the chest.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

About 80% of major fungal systemic infections are due to Candida albicans. Another form, Candida peritonitis, occurs most often in postoperative patients. A rare disease, Candida meningitis, may follow leukemia, kidney transplant, other immunosuppressed factors, or when suffering from Candida septicemia.

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

For a complete list of videos, visit our video library