Question :
111.Governmentinterventionthataimstopromotetechnology-enhancingindustriesiscalled
a.assistedtechnology.
b.interventionpolicy.
c.industrialtechnologyassistance.
: 1261380
111.Governmentinterventionthataimstopromotetechnology-enhancingindustriesiscalled
a.assistedtechnology.
b.interventionpolicy.
c.industrialtechnologyassistance.
d.industrialpolicy.
112.Technologyspilloveroccurswhen
a.afirmpassesthehighcostsoftechnicalresearchontosocietythroughhigherprices.
b.afirm’sresearchyieldstechnicalknowledgethatisusedbysocietyasawhole.
c.thegovernmentsubsidizesfirmsengagedinhigh-techresearch.
d.copyrightlawsprohibitfirmsfromprofitingfromtheresearchofothers.
113.Whentechnologyspilloveroccurs,
a.itisthegovernment’sresponsibilitytoownfirmsthatareengagedinhigh-techresearch.
b.afirm’sresearchyieldstechnologicalknowledgethatcanthenbeusedbysocietyasawhole.
c.thosefirmsengagedintechnologyresearchshouldbetaxedbythegovernment.
d.firmsinvestinthelatestproductiontechnologyandthecostofthattechnology”spillsover”tothepricesconsumersmustpayfortheproduct.
114.Researchintonewtechnologies
a.providespositiveexternalitiesbecauseitcreatesknowledgeotherscanuse.
b.resultsinnegativeexternalitiesbecausegovernmentfundingforresearchcauseslessgovernmentspendinginotherareas.
c.isprotectedbypatentlaws,whicheliminatestheneedforgovernmentintervention.
d.shouldonlybefundedbythecorporationsthatwillreceivetheprofitsfromtheresearch.
115.Ifthegovernmentwantedtoensurethatthemarketreachesthesociallyoptimalequilibriuminthepresenceofatechnologyspillover,itshould
a.imposeacorrectivetaxonanyfirmproducingatechnologyspillover.
b.offertaxcreditstoconsumerswhoareadverselyaffectedbythenewtechnology.
c.subsidizeproducersbyanamountequaltothevalueofthetechnologyspillover.
d.provideresearchgrantstothosefirmsnotcurrentlyengaginginresearchtoincreasecompetitionintheindustry.
116.Whenanindustryischaracterizedbytechnologyspillover,whatshouldthegovernmentdotoensurethatthemarketequilibriumequalsthesociallyoptimalequilibrium?
a.Imposeataxgreaterthanthevalueofthetechnologyspillover.
b.Notallowproductionofanyproductthatcausesatechnologyspillover.
c.Provideasubsidyequaltothevalueofthetechnologyspillover.
d.Requireproducersto”cleanup”anyspilloverthatresultsfromtheirproductionprocess.
117.Inthecaseofatechnologyspillover,thegovernmentcanencouragefirmstointernalizeapositiveexternalityby
a.taxingproduction,whichwoulddecreasesupply.
b.taxingproduction,whichwouldincreasesupply.
c.subsidizingproduction,whichwoulddecreasesupply.
d.subsidizingproduction,whichwouldincreasesupply.
118.Inthecaseofatechnologyspillover,internalizingapositiveexternalitythroughagovernmentsubsidywillcausetheindustry’ssupplycurveto
a.shiftupbyanamountequaltothesubsidy.
b.shiftdownbyanamountlessthanthesubsidy.
c.shiftdownbyanamountequaltothesubsidy.
d.shiftdownbyanamountgreaterthanthesubsidy.
119.WhichofthefollowingisNOTawayofinternalizingtechnologyspillovers?
a.subsidies
b.patentprotection
c.industrialpolicy
d.taxes
120.Iftheproductionofcomputerchipsyieldsgreatertechnologyspilloversthantheproductionofpotatochips,thegovernmentshould
a.encouragetheproductionofcomputerchipswithsubsidies.
b.discouragetheproductionofpotatochipswithtaxes.
c.encouragetheproductionofpotatochipswithsubsidies.
d.discouragetheproductionofcomputerchipswithtaxes.