According to this Application, more years of work would be required to pay off a student loan if all prices
A) increased by 20 percent. B) remained stable.
C) increased by 40 percent. D) decreased by 10 percent.
D
You might also like to view...
Asymmetric information contributes to
A) the adverse selection problem. B) the moral hazard problem. C) both the adverse selection problem and the moral hazard problem. D) neither the adverse selection problem nor the moral hazard problem.
The figure above shows that the unregulated market equilibrium occurs at a tuition of ________ a year and ________ million students
A) $15,000; 7.5 B) $25,000; 15 C) $15,000; 15 D) $25,000; 7.5 E) $38,000; 7.5
Classifying a good as rival means
A) that when one person consumes a unit of the good no one else can consume it. B) anyone who does not pay for the good cannot consume it. C) that the good is produced in a competitive market. D) that there is a shortage of the good.
When a positive externality is present in a market, total surplus is:
A. higher when buyers receive a Pigouvian subsidy for the externality. B. lower when buyers receive a Pigouvian subsidy for the externality. C. higher when buyers only consider private benefits. D. Any of these statements could be true.