Economists in different areas are on the lookout for "natural experiments" that can help provide strong evidence on a subject. An example of such a natural experiment
A) Exists in the case of the split between East and West Germany after World War II and how this provides evidence on the importance of protective institutions
B) Exists in the case of the adoption of new technologies like the rail engine after 1850 and how it provides evidence of the importance of technology
C) Exists in the case of the trade between states like Washington and Florida and how it provides evidence on the value of trade
D) Exists in the case of the case of the U.S. and Mexico given their location in North America
Answer: A) Exists in the case of the split between East and West Germany after World War II and how this provides evidence on the importance of protective institutions
You might also like to view...
A change that decreases the expected profit from holding a unit of product in inventory, ________ the expected marginal revenue curve and ________ the profit-maximizing quantity to hold in inventory.
A) decreases; increases B) increases; decreases C) decreases; decreases D) increases; increases
The restaurant market in San Francisco is probably best categorized as: a. perfectly competitive
b. monopolistic. c. monopolistically competitive. d. oligopolistic.
The law of demand is graphically depicted as a(n)
a. vertical demand curve b. horizontal demand curve c. downward-sloping demand curve d. upward-sloping demand curve e. curved demand line
Systemic risks would be most prevalent at larger banks like Bank of America and Citibank
a. True b. False Indicate whether the statement is true or false