If Tom drives a car more recklessly after he purchases a comprehensive insurance plan, the change in his behavior is an adverse selection problem.
Answer the following statement true (T) or false (F)
False
Economics
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If the consumption of a good decreases the quantity available for another person, the good is
A) rival. B) excludable. C) pure. D) free.
Economics
A monopsony has
a. one seller. b. a single buyer. c. many sellers. d. many buyers.
Economics
Why are creditors harmed by unexpected inflation?
a. Creditors receive lower nominal rates of interest when prices rise b. Creditors are paid back with more valuable dollars. c. Creditors receive higher nominal rates of interest when prices rise. d. Creditors are paid back money with less spending power than they expected when the money was loaned out.
Economics
Buyers always prefer lower prices to higher prices
Indicate whether the statement is true or false
Economics