A product can be classified as an inferior good if an increase in the income causes
a. A decrease in the quantity demanded
b. A decrease in demand
c. An increase in demand
d. An increase in the quantity demanded.
a
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The above figure shows the marginal benefits and marginal costs of a college education. The efficient number of students is
A) 0. B) 10 million. C) 15 million. D) 25 million.
Financial deregulation and innovation since the late 1970s has made spending, especially new housing, ________ sensitive to changes in the market interest rate, leading to a ________ IS curve
A) more, steeper B) more, flatter C) less, steeper D) less, flatter
"Measures are too often decided, not according to the rules of justice and the rights of the minor party, but by the superior force of an interested and overbearing majority" was written by
a. Jefferson b. Washington c. Hamilton d. Adams e. Madison
We refer to situations in which individuals need to act collectively to reach solutions that will make everyone better off as:
A. collective-action problems. B. moral hazard problems. C. free-rider problems. D. public-mind problems.