Refer to the diagram, which applies to a private closed economy. The APC is equal to 1 at income level:

The maximum amount a person is willing to pay today to receive a payment in the future is known as

A) nominal interest. B) present value. C) retained earnings. D) real interest.

In a zero-sum game, ________

A) each player earns a zero payoff irrespective of the strategy one chooses B) each player has a dominant strategy C) each player chooses a pure strategy D) one player's loss is another player's gain

It is inefficient to charge a positive price for a collective consumption good

a. True b. False

Suppose Vinnie is looking for a month-long vacation rental in San Diego. The first vacation rental Vinnie finds costs $800 per month. If he looks for another vacation rental, there's a 75 percent chance he'll find another one for $800 per month and a 25 percent chance he'll find one for $600 per month. Other than price, all of the vacation rentals are identical. Vinnie's marginal cost of searching for an additional vacation rental is $45. For Vinnie, the expected value of searching for another vacation rental is:

A. $200. B. $5. C. $45. D. $50.