A Pareto optimum
A) can be found in a closed and open economy.
B) is found where the budget line is tangent to the indifference curve.
C) is the same as a competitive equilibrium.
D) is where the consumption line is tangent to the PPF.
E) is the slope of the PPF.
Correct Answer:
Verified
Q31: The presence of a distorting tax on
Q32: A Pareto optimum requires
A) MPn = slope
Q33: The first fundamental theorem of welfare economics
Q34: The marginal rate of transformation is equal
Q35: An increase in government spending shifts the
Q37: Relative to the social optimum, monopoly power
Q38: The marginal rate of transformation is
A) the
Q39: A competitive equilibrium is Pareto-optimal if there
Q40: The second fundamental theorem of welfare economics
Q41: In response to an increase in total
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents