"The minimum wage should be increased so that low-income workers can afford to feed their families." This is an example of:
a. a positive economic statement
b. a negative economic statement.
c. the fallacy of composition.
d. a normative economic statement.
d
You might also like to view...
The writings of the 18th century economist _____________ greatly influenced Constitutional provisions regarding private property rights
a. John Maynard Keynes b. Alfred Marshall c. Adam Smith d. John Hicks
The demand schedule for a good shows:
a. the specific quantity of the good that people are willing and able to sell at different prices. b. the positive relationship between the price and the quantity of the good. c. no relationship between the price and the quantity of the good. d. the specific quantity of the good that people are willing and able to buy at different prices. e. the quantity of the good that is sold in the market.
Exhibit 2-1 Production possibilities curve data ConsumptionGoods CapitalGoods 10 0 9 1 7 2 4 3 0 4 In Exhibit 2-1, according to the information, the opportunity cost of producing the 3rd unit of capital is:
A. 3 units of consumption goods. B. 4 units of consumption goods. C. 6 units of consumption goods. D. 7 units of consumption goods.
Edgar and Felicity are players in an ultimatum game for $100, where Felicity is the proposer and Edgar is the responder. Suppose that Felicity proposes that she receive $95, while Edgar receives only $5. How would behavioral economists expect Edgar to
respond? A. Even though Edgar would be better off having $5 versus nothing, Edgar will likely see the offer as unfair and reject it. B. Edgar will accept the $5, as rejecting it would be economically irrational. C. Edgar will suggest a counteroffer that he would accept. D. Edgar will accept the offer if he is thinking with brain System 1 but reject it if thinking with brain System 2.