If property rights are weak or uncertain, resource extraction will tend to:
A. occur faster than the rate that would maximize the long-run stream of profits.
B. occur slower than the rate that would maximize the long-run stream of profits.
C. occur at the rate that would maximize the long-run stream of profits.
D. stop.
Answer: A
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How do legal controls on prices lead to corruption?
A. Persons who benefit from the controls are willing to bribe officials to keep the controls in place. B. Persons who make the laws may favor certain groups at the expense of others. C. Selling in the black market is very profitable, and persons therefore willingly break the law. D. Discrimination may occur as a means to limit buying or selling select groups. E. All of these responses are correct.
Which of the following would be directly counted in U.S. GDP for 2015?
A) a 2015 Mini Cooper, built in Oxford, England, and sold to a computer programmer in San Jose, California B) a 1957 Chevy Bel Air convertible sold by its original owner to a car collector in Nashville on March 1, 2015 C) a 2015 Harley-Davidson Softail Deluxe, built in Pennsylvania, and sold to a kindergarten teacher in Moose Jaw, Saskatchewan, Canada D) a Tesla car battery, built in 2014 in California, to be installed in a new 2015 Tesla Model S
The ultimatum game and the dictator game are used in economic experiments to test whether fairness is an important influence on consumer decision-making
Indicate whether the statement is true or false
Table 36-2 ? Domestic ? ? ? GDP Expenditure ? Exports Imports Total Expenditures (Y) C+ I + G (X) (IM) C+ I + G + (X?IM) $2,500 $3,100 $650 $250 _____ 3,000 3,400 650 300 _____ 3,500 3,700 650 350 _____ 4,000 4,000 650 400 _____ 4,500 4,300 650 450 _____ 5,000 4,600 650 500 _____ 5,500 4,900 650 550 _____ In Table 36-2, what are net exports when GDP = 3,500?
A. 400 B. 300 C. 200 D. 100