Which of the following is NOT true of an incomplete contract?
a. It discourages parties from acting opportunistically.
b. It increases the cost of negotiation.
c. It allows renegotiation among parties if certain events occur.
d. It contains provisions for terminating the contract if certain events occur.
B
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Bill Gates is a founder of Microsoft and the world's richest individual. Suppose Microsoft sells more software and Mr. Gates acquires another billion dollars in wealth
Simultaneously, suppose a burglar whose income is well below average broke into Bill Gates' house and stole a million dollars' worth of antiques. Using the "it's not fair if the rules aren't fair" approach to fairness, is Mr. Gates' acquisition of additional wealth fair? Is the (poor) thief's acquisition fair?
Are credit cards "money"?
A) No, because they are not used as a general medium of exchange. B) No, because they are used to make money. C) Yes, because they are used as a general medium of exchange. D) Yes, because they are used to make money.
There is an inverse relationship between the price level and aggregate expenditures
Indicate whether the statement is true or false
? A Two-Good Market
Considering the data from the table shown above, assuming that the market basket cost of light bulbs and volleyballs in the base year was $4500, what would be the price index for the year 2020?
A. 92.70 B. 100.00 C. 177.78 D. 156.30