Each firm embraces objectives that management believes will make the firm more successful. a. True
b. False

Suppose the marginal damage and marginal benefit curves in a polluted neighborhood are md = p/3 and mb = 4 – p. also, suppose that transactions costs are low, so that the consumers and the firm can bargain. we saw that in this case, the socially-optimal level of pollution is achieved. start by computing the socially-optimal p. then, for each of the following cases, compute the amount of money transferred through the bargaining process, and indicate who pays whom (i. e., whether consumers pay the firm, or vice versa). also, compute the gains to each party relative to the status quo (i. e., the starting point of the bargaining process).a)consumers have the right to clean air; firm is dominant in the bargaining process. b)consumers have the right to clean air; consumers are dominant in the bargaining process. c)firm has the right to pollute; firm is dominant in the bargaining process. d)firm has the right to pollute; consumers are dominant in the bargaining proces

Which of the following makes a true statement about the relationship between government and financial institutions? government and financial institutions do not interact with each other. financial institutions like the u. s. treasury must approve increases in the government deficit. government can pass laws to limit what financial institutions can charge in interest and fees. financial institutions like local banks must approve interest rates set by the federal reserve.

Gross output (go) reflects the overall status of the productive side of the economy better than gdp does. a. true b. false