4. Which is a way to find utility-maximizing choice on a consumption budget constraint?

Select one:

a.Choose the lowest total on the budget line

b.Add up total utility of each choice on the budget line and choose the highest total

c.Divide quantity by utility

5. Private benefits are the benefits a person who consumes a good or service receives, or a new product's benefits or process that a company invents that the company captures.

Select one:

a.True

b.False

6. Certain global environmental issues, such as global warming, spillover national borders and require addressing with some form of international agreement.

Select one:

a.True

b.False

7.Which one is not a shortcoming of command-and-control regulations?

Select one:

a.Provide no incentive for going beyond the limits they set

b.Offer maximum restrictions on carbon dioxide emissions

c.Often have politically-motivated loopholes

8. Estate tax is a tax system in which the rich pay a higher percentage of their income in taxes, rather than a higher absolute amount.

Select one:

a.True

b.False

9.

A government can measure poverty based on a percentage of the median income.

Select one:

a.True

b.False

10. Total utility shows the possible combinations of two goods that are affordable given a consumer's limited income.

Select one:

a.True

b.False