Exam 10: Externalities

-The figure above shows the market for annual influenza immunizations the United States.With no government intervention,the market equilibrium is at a price of ________ and ________ million immunizations per year.

Burning coal to generate electricity can create pollution.If the market for generating electricity is competitive and is allowed to operate without any government intervention,is the equilibrium quantity of coal burned equal to,more than,or less than the efficient quantity?

Legally established titles to ownership,use,and disposal of factors of production and goods and services,are called ________ rights.

If the production of a good causes pollution (an external cost),is the unregulated competitive market equilibrium of that product efficient?

Vouchers given to consumers

Which of the following equations is correct?

A government subsidy

Food stamps provided by the government to households are an example of

Issuing marketable permits to firms that produce a product with external costs will give the firms the incentive to

-The figure above shows the marginal social cost curve of generating electricity and the marginal private cost curve.The marginal external cost when 100 billion kilowatt hours are produced is

-The figure above shows the marginal social cost curve of generating electricity,the marginal private cost curve,and the demand curve.If the market is competitive and unregulated,the equilibrium price is ________ per kilowatt hour and the equilibrium quantity is ________ billion kilowatt hours per day.

An external cost in the production of a good creates a difference between the i.costs borne by the producer and the costs borne by society in general. ii.efficient quantity of output and the equilibrium quantity of output. iii.marginal social cost and the marginal private cost.

-The figure above shows the market for annual influenza immunizations the United States.The efficient quantity of immunizations is

-The figure above shows the market for a good with an external benefit.If the market is competitive and the government takes no action,the equilibrium quantity of ________ units is inefficient because ________.

One reason why property rights help achieve an efficient level of pollution is because property rights

When logging in the Pacific Northwest destroys forests that hikers would have used for eco-tourism,the destruction of the trails is an example of

The marginal cost incurred by the entire society to produce a good or service is the

A noisy party that keeps neighbors awake is an example of a

-The figure above shows the costs and benefits associated with producing paper.What is the efficient level of output?

Suppose two neighborhoods (A andB)have identical housing,but neighborhood A has a strictly enforced deed restriction that prohibits homeowners from parking junk cars in the front yard.If houses in neighborhood A sell for $105,000 and houses in neighborhood B sell for $100,000,how would an economist value the external cost of visible junk cars,per house?