Economic analysis indicates that
a. unorganized groups of taxpayers and consumers will be better able to secure redistribution through the political process than well-organized interest groups.
b. rent-seeking activities are beneficial to a nation's prosperity because they alter public policy.
c. most income transfers in the United States are directed toward the poor.
d. market adjustments and competition for transfers will erode much of the gain of transfer recipients.
D
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Refer to Table 29-1. Use the information in the table to prepare a balance of payments account and find the value of the statistical discrepancy. Assume that the balance on the capital account is zero
What will be an ideal response?
Which of the following is a behavior inconsistent with the Efficient Markets Hypothesis?
A) diversification of one's portfolio B) avoiding active trading of stocks C) holding onto a losing stock while being more likely to sell a stock that has increased in value D) the purchase of a stock index fund
A key aspect of the principal-agent problem is that
A) the principal cannot perfectly monitor the agent's actions. B) the principal can perfectly monitor the agent's actions. C) the output level does not depend on the agent's actions. D) the principal is always risk-averse.
If the stock market of a country crashes, the currency of the country is expected to _____ in the future
a. devaluate b. appreciate c. depreciate d. cease to be traded