Label the following as True, False, or Uncertain and explain your choice. (Uncertain means that it..

Label the following as True, False, or Uncertain and explain
your choice.

(Uncertain means that it can be either true or false
depending upon the circumstances.)

a. All members of a resource cartel share a common
objective—increase prices as much and as soon as possible.

b. By holding prices lower than they would otherwise be,
placing a price control on a depletable resource increases both the speed with
which the resource is extracted over time and the cumulative amount ultimately
extracted.

c. A price control actually has no influence on the
extraction path of a depletable resource
»

Label the following as True, False, or Uncertain and explain
your choice.

(Uncertain means that it can be either true or false
depending upon the circumstances.)

a. All members of a resource cartel share a common
objective—increase prices as much and as soon as possible.

b. By holding prices lower than they would otherwise be,
placing a price control on a depletable resource increases both the speed with
which the resource is extracted over time and the cumulative amount ultimately
extracted.

c. A price control actually has no influence on the
extraction path of a depletable resource until such time as the market price
actually reaches the level of the price control.

d. Forcing companies that drill offshore for oil to
compensate victims of any oil spill from one of its facilities would be an
efficient requirement.

»