In a coin toss bet, where both heads and tails are equally likely, you win a dollar on heads but lose a dollar on tails. The expected value of the bet is
a. $0.50
b. -$0.50
c. $1.00
d. $0.00
d
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When total planned real expenditures change due to changes in the cost of borrowing that result from variations in the price level, this is known as the
A) interest rate effect. B) real-balance effect. C) open economy effect. D) aggregate balances effect.
After a binding price floor becomes effective, a
a. smaller quantity of the good is exchanged. b. a larger quantity of the good is demanded. c. a smaller quantity of the good is supplied. d. All of the above are correct.
People with similar, passionate views that are not mainstream can gain political power by ______.
a. each voting individually b. keeping their feelings quiet and pretending to be mainstream c. forming a special interest group to lobby their cause d. boycotting the election
?Wind ChimesSun DialsDeena912Artie68
Consider two individuals, Artie and Deena, who produce wind chimes and sun dials. Artie's and Deena's weekly productivity are shown in Table 18.4. Which of the following is TRUE?
A. Deena has an absolute advantage in producing both goods, and a comparative advantage in producing wind chimes. B. Deena has an absolute advantage in producing both goods, and a comparative advantage in producing sun dials. C. Deena has an absolute and a comparative advantage in producing both goods. D. Deena has an absolute advantage in producing both goods, but no one has a comparative advantage in producing either good.