A. It is efficient for Roberto to stop playing loud music regardless of who has the property right to the level of sound
B. it is efficient for Roberto to continue to play loud music
C. It is efficient for Roberto to stop playing loud music only if Thomas has the property right to peace and quiet
D. It is efficient for Roberto to stop playing loud music only if Roberto has the property right to play loud music
Related Mcqs:
- Roberto and Thomas live in a university hall of residence. Reberto values playing loud music at a value of €100. Thomas values peace and quiet at a value of €150. Which of the following statements is true about an efficient solution to this externality problem if Roberto has the right to play loud music and if there are no transaction costs ?
A. Thomas will pay Roberto between €100 and €150 and Roberto will continue to play loud music
B. Roberto will pay Thomas €150 and Roberto will continue to play loud music
C. Thomas will pay Roberto between €100 and €150 and Roberto will stop playing loud music
D. Roberto will pay Thomas €100 and Roberto will stop playing loud music - Suppose each of 20 neighbours on street values street repairs at €3000 the cost of the street repair is €40,000 which of the following statements is true ?
A. it is efficient for the government to tax the resident €2,000 each and repair the road
B. It is efficient for each neighbour to pay €3,000 to repair the section of street in front of his/her home
C. None of these answers are true
D. it is not efficient to have the street repaired - If the exchange rate between the UK and Japan changes from £1 = 100 yen to £1 = 150 yen then ceteris paribus, the price of UK goods in Japan ?
A. will remain the same
B. will decrease
C. will increase
D. could either increase of decrease - If the diagram of a line shows that lower values on the vertical scale are associated with higher values on the horizontal scale this is an example of ?
A. a nonlinear relationship
B. a positive linear relationship
C. a scatter diagrams
D. a negative linear relationship - Jamil has ten pairs of football boots and saleem has none. A pair of football boots cost Rs50. to produce. If jamil values an additional pair of boots at RS100 and saleem values a pair of boots at Rs40, then the maxime ?
A. efficiency Saleem should receive the glove
B. Efficiency Jamil should receive the glove
C. equity Jamil should receive the glove
D. consumer surplus both should receive a glove - Suppose, due to political instability, Russians suddenly choose to purchase UK assets as opposed to Russian assets Which of the following statements is true regarding the value of the pound and UK net exports ?
A. The pound appreciates, and UK net exports rise
B. The pound appreciates, and UK net exports fall
C. The pound depreciates, and UK net exports rise
D. The pound depreciates, and UK net exports fall - Suppose that 40 percent of the voting population wish to spent Rs1,000 for artwork in City Hall, 25 percent wish to spent Rs20,000 and 35 percent wish to spend Rs 22,000 What is the median preferred outcome, the average preferred outcome and the modal preferred outcome ?
A. Rs20,000; Rs20,000; Rs22,000
B. Rs1,000; Rs14,333; Rs1,000
C. Rs20,000; Rs13,100; Rs1,000
D. Rs1,000; Rs20,000; Rs22,000 - If the public consumes Rs 100 billion less and the government purchases Rs100 billion more (other things unchanging), Which of the following statement is true ?
A. Saving is unchanged
B. There is an increased in saving and the economy should grow more quickly
C. There is a decrease in saving and the economy should grow more slowly
D. There is not enough information to determine what will happen to saving - You are planning to run a hot dog stand during a forthcoming fair. You originally estimated that you will generated sales revenue of Rs 2000 and you have already spent Rs 1000 building the hot dog stand. The hot dog stand is nearly completed but now you estimate total sales to be only Rs 800 because the fair clashes with a major music festival in a nearby location. You can complete the hot dog stand for another Rs 300 Your decision rule should be to complete the hot dog stand as long as the cost to complete the stand is less than ?
A. Rs 300
B. Rs 1000
C. Rs 500
D. Rs 800 - Which of the following statements is true about a market economy ?
A. With a large enough computer, central planners could guide production more efficiently than markets.
B. Market participants act as if guided by an invisible hand to produce outcomes that maximize social welfare
C. The strength of a market system is that it tends to distribute resources evenly across consumers.
D. Taxes help prices communicate costs and benefits to producers and consumers.
