For a signal to convey credible information about the quality of a good, the signal must:
A. be equally costly to send, regardless of the good's quality.
B. not be costly to send.
C. be less costly to send if the good is high quality than low quality.
D. be less costly to send if the good is low quality than high quality.
Answer: C
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This year a country loaned more to the rest of the world than it borrowed from the rest of the world. In addition, the country has invested more in the rest of the world than other countries have invested in it
The country is currently a ________ and also a ________. A) net lender; creditor nation B) net borrower; creditor nation C) net borrower; debtor nation D) debtor nation; net lender
Which of the following is not a reason why the Industrial Revolution occurred when and where it did?
A) The British government was able to more easily seize wealth. B) Institutional changes by the British government helped protect wealth. C) The British government was committed to upholding private property rights. D) The British government was able to eliminate arbitrary increases in taxes.
The price elasticity of supply will always be a negative number.
Answer the following statement true (T) or false (F)
In a market system, what provides individuals the information needed to make decisions?
A. insurance B. prices C. patents D. government