- Module 75 .1: Some opponents of tradable emissions permits object to them on the ...
- Module 75 .2: For each of the following cases, explain whether an external cost o...
- Module 75 .3: Which of the following is true in the case of a positive externalit...
- Module 75 .4: One example of a source of external benefits is a. technology spill...
- Module 75 .5: Marginal social benefit equals marginal private benefit plus a. mar...
Solutions for Chapter Module 75 : Externalities and Public Policy
Full solutions for Krugman's Economics for AP® (High School) | 2nd Edition
goods that are rival in consumption but not excludable
the value of everything a seller must give up to produce a good
cross-price elasticity of demand
a measure of how much the quantity demanded of one good responds to a change in the price of another good, computed as the percentage change in quantity demanded of the first good divided by the percentage change in price of the second good
the fall in total surplus that results from a market distortion, such as a tax
economies of scale
the property whereby long-run average total cost falls as the quantity of output increases
the property of society getting the most it can from its scarce resources
the quantity supplied and the quantity demanded at the equilibrium price
factors of production
the inputs used to produce goods and services
the amount of money in the future that an amount of money today will yield, given prevailing interest rates
a good for which, other things being equal, an increase in income leads to a decrease in demand
the study of economy-wide phenomena, including inflation, unemployment, and economic growth
an economy that allocates resources through the decentralized decisions of many firms and households as they interact in markets for goods and services
the setting of the money supply by policymakers in the central bank
the tendency of a person who is imperfectly monitored to engage in dishonest or otherwise undesirable behavior
a good for which, other things being equal, an increase in
claims that attempt to prescribe how the world should be
a market structure in which only a few sellers offer similar or identical products
the limited nature of society’s resources
a graph of the relationship between the price of a good and the quantity supplied
tax on goods produced abroad and sold domestically