Suppose a fashion designer wins a bid to design clothes for the characters of a movie. During his work he finds out that the payment he receives would not only cover his production costs but also earn him profits. The producer of the movie can be said to be facing a winner's curse
Indicate whether the statement is true or false
F
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If the population is 300 million, with 70 million under the age of 16 and institutionalized, another 70 million not in the labor force, 10 million unemployed and 150 million employed, the labor force participation rate is
A) 69.6 percent. B) 23.3 percent. C) 6.67 percent. D) 50 percent.
Assuming that (1) labor supply is perfectly inelastic (vertical), and (2) immigrants and skilled labor are complements, an increase in unskilled immigrant labor ___________ the real wages of unskilled labor and __________the real wages of skilled labor
a. increases; increases b. increases; decreases c. decreases; increases d. decreases; decreases
The fallacy of composition is the error of believing a cause-effect relationship exists between two events that are associated in time
a. True b. False
In general, an increase in price could be caused by either:
a. an increase in demand or a decrease in supply. b. an increase in demand or an increase in supply. c. a decrease in demand or an increase in supply. d. an increase in demand or an increase in supply.