The value of a worker's marginal product is $50 per hour for high-ability workers and $15 per hour for low-ability workers. The preferences of high-ability workers correspond to the utility function UH(E, W) = W - 4E, and the preferences of low-ability workers correspond to the utility function UL(E, W) = W - 10E. By law, everyone is required to attend at least ten years of school. Three-fifths of the population has low ability, and two-fifths has high ability. What is the most efficient separating equilibrium?
A. EL = 13.5; EH = 13.5
B. EL = 10; EH = 13.5
C. EL = 13.5; EH = 16.125
D. EL = 10; EH = 10
B. EL = 10; EH = 13.5
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Which factor is an important considerations when interpreting the gap in educational achievement between U.S. students and other students around the world?
A. U.S. students spend more time in classes but get less intensive instruction. B. There is a broader diversity of students in the U.S. compared to the student bodies of other countries. C. U.S. parents and students do not care as much about education as do parents and students from other countries. D. There are low literacy rates for female U.S. students.
Based on research described in Module 9, why might warning labels on cigarette packs be ineffective in deterring smoking?
A. the labels are not read B. they can stimulate pleasure areas of the brain that trigger craving C. the print is too small D. labels are not strategically placed on the packs
Which of the following is not true, according to the text?
a. One's ability to control a new behavior may vary with the situation. b. You may need to continue to give yourself instructions in dangerous situations. c. Setting a "stop date" for all aspects of your project is the best way to go off the plan. d. Keeping records during a trial period may be an important part of stopping aself-modification project.
Harry goes to a psychologist because he is continually depressed. When he gets to the psychologist's office, he realizes that while he wants to end his depression it will take him far too long to tell the doctor his life story
The psychologist senses Harry's reluctance and decides to administer an objective test to reveal Harry's attitudes and feelings. The doctor administers which of the following tests? a. MMPI-2 b. TAT c. 16PF d. Rorschach