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Anestetic [448]
3 years ago
7

uppose that an MBA degree creates no extemality because the benefits of an MBA are internalized by the student in the form of hi

gher wages. If there are no government subsidies for MBAs, then which of the following statements is correct? a. The equilibrium quantity of MBAs will equal the socially optimal quantity of MBAs. b. The equilibrium quantity of MBAs will be greater than the socially optimal quantity of MBAS. c. The equilibrium quantity of MBAs will be less than the socially optimal quantity of MBAs. d. There is not enough information to answer the question.
Business
1 answer:
Schach [20]3 years ago
7 0

Answer:

A) The equilibrium quantity of MBAs will equal the socially optimal quantity of MBAs.

Explanation:

No government subsidies, no government taxes, no government anything = free markets = capitalism = fantasy world

Pure capitalism doesn't exist (only semi capitalistic economies), since governments exist and they regulate the economy, tax and transfer money, and spend.

But in a fantasy world where governments do not exist, then the equilibrium quantity of any good or service equals the socially optimal quantity. That applies to every single product or service.  

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An increase in investment shifts the ae curve upward by an amount equal to the​ ______, and shifts the ad curve rightward by an
kogti [31]
<span>An increase in investment shifts the AE curve upward by an amount equal to the​ change in investment, and shifts the AD curve rightward by an amount equal to the​ change in the investment by the multiplier.
The AE curve stands for the aggregate expenditure which measures expenditures on consumption. The AD curve stands for the aggregate demand curve which measures the demand levels when prices change for a good or service in an economy. 

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5 0
3 years ago
A survey question that requires a yes or no answer is called a select one:
vaieri [72.5K]
Multiple-choice question
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3 years ago
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During the first year of operations, employees earned vacation pay of $35,000. The vacations will be taken during the second yea
insens350 [35]

Answer:

False

Explanation:

In the given question it is mentioned that the employees earned vacation pay of $35,000 during the first year of the operation.

Hence,

the expenses should be recorded as the vacation pay expenses in the same year not in the following year i.e the second year whether the employees take the vacation in the same year or the next year.

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3 years ago
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Please read the entire question.
Bad White [126]

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6 0
3 years ago
Imagine that two goods are available to you: apples (X) and pears (Y). You like apples half as much as pears. If your fruit budg
goldenfox [79]

Answer:

the value of the MktRS (market rate of substitution) is 0

Explanation:

The computation of the market rate of substitution is shown below:

Since it is mentioned that

You like apples half as pears

So the equation would be

X = 1 ÷ 2 Y

X ÷ Y = 1 ÷ 2

Now the market rate of substitution of the price is

= $2 ÷ $4

= 1 ÷ 2

So,

= 1 ÷ 2 - 1 ÷ 2

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Hence, the value of the MktRS (market rate of substitution) is 0

The same is to be considered

3 0
3 years ago
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