×
Log in to StudySoup
Get Full Access to Business - Textbook Survival Guide
Join StudySoup for FREE
Get Full Access to Business - Textbook Survival Guide

Solutions for Chapter section 1 4 : Market Failure and the Role of Government

Full solutions for Krugman's Economics for AP* | 2nd Edition

ISBN: 9781429218276

Solutions for Chapter section 1 4 : Market Failure and the Role of Government

Solutions for Chapter section 1 4
4 5 0 355 Reviews
18
1
Textbook: Krugman's Economics for AP*
Edition: 2
Author: Margaret Ray, David A. Anderson
ISBN: 9781429218276

Krugman's Economics for AP* was written by and is associated to the ISBN: 9781429218276. Since 23 problems in chapter section 1 4 : Market Failure and the Role of Government have been answered, more than 13382 students have viewed full step-by-step solutions from this chapter. This expansive textbook survival guide covers the following chapters and their solutions. This textbook survival guide was created for the textbook: Krugman's Economics for AP*, edition: 2. Chapter section 1 4 : Market Failure and the Role of Government includes 23 full step-by-step solutions.

Key Business Terms and definitions covered in this textbook
  • budget surplus

    an excess of government receipts over government spending

  • club goods

    goods that are excludable but not rival in consumption

  • cyclical unemployment

    the deviation of unemployment from its natural rate

  • demand deposits

    balances in bank accounts that depositors can access on demand by writing a check

  • efficiency

    the property of society getting the most it can from its scarce resources

  • Fisher effect

    the one-for-one adjustment of the nominal interest rate to the inflation rate

  • human capital

    the accumulation of investments in people, such as education and on-the-job training

  • marginal change

    a small incremental adjustment to a plan of action

  • market power

    the ability of a single economic actor (or small group of actors) to have a substantial influence on market prices

  • multiplier effect

    the additional shifts in aggregate demand that result when expansionary fiscal policy increases income and thereby increases consumer spending

  • mutual fund

    an institution that sells shares to the public and uses the proceeds to buy a portfolio of stocks and bonds

  • net capital outflow

    the purchase of foreign assets by domestic residents minus the purchase of domestic assets by foreigners

  • price elasticity of demand

    a measure of how much the quantity demanded of a good responds to a change in the price of that good, computed as the percentage change in quantity demanded divided by the percentage change in price

  • property rights

    the ability of an individual to own and exercise control over scarce resources

  • public goods

    goods that are neither excludable nor rival in consumption

  • regressive tax

    a tax for which highincome taxpayers pay a smaller fraction of their income than do low-income taxpayers

  • sunk cost

    a cost that has already been committed and cannot be recovered

  • supply curve

    a graph of the relationship between the price of a good and the quantity supplied

  • union

    a worker association that bargains with employers over wages, benefits, and working conditions

  • variable costs

    costs that vary with the quantity of output produced

×
Log in to StudySoup
Get Full Access to Business - Textbook Survival Guide
Join StudySoup for FREE
Get Full Access to Business - Textbook Survival Guide
×
Reset your password