You cause a fire insurance company to face a moral hazard problem when you take ________ you buy fire insurance from the company.
A. fewer precautions to prevent fires before
B. fewer precautions to prevent fires after
C. more precautions to prevent fires after
D. the same precautions to prevent fires before and after
Answer: B
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The benefit principle states that_____
a. people who benefit from the rule of law should pay taxes b. people who benefit from Social Security should voter for it c. people who benefit from a government activity should pay for it in proportion to their wealth d. people who benefit from a government activity should be those who pay for it
Technological advance is a three-step process involving:
A. invention, duplication, and diffusion. B. duplication, innovation, and diversity. C. invention, innovation, and diffusion. D. necessity, invention, and solution.
People will buy more of a normal good when their income decreases.
Answer the following statement true (T) or false (F)
Refer to the information provided in Figure 19.1 below to answer the question(s) that follow. 
Figure 19.1 Refer to Figure 19.1. Initially after the payroll tax is imposed, the difference in the firm's cost per unit of labor and the workers' take home pay is ________ per hour.
A. $2 B. $3 C. $5 D. $7