In a coin toss bet, where both heads and tails are equally likely, you win a $3 on heads but lose $1 on tails. The expected value of the bet is
a. $0.50
b. -$0.50
c. $1.00
d. $0.00
c
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With barriers to the entry of new firms
A) a cartel is guaranteed to earn an economic profit greater than zero. B) a cartel's members have no incentive to cheat. C) the cartel will likely earn an economic profit greater than zero. D) industry supply will expand if the firms form a cartel.
If official U.S. poverty statistics included in-kind transfer payments,
a. the poverty rate would be close to zero b. the poverty rate would be lower c. the government deficit would be lower d. the inflation rate would be higher e. the top 10 percent of those in the income distribution would be wealthier
The money demand curve is
a. downward sloping b. upward sloping c. horizontal d. vertical e. has an inverted V-shape.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, Point A necessarily represents
A. only hybrid cars being produced. B. an unattainable production point. C. what society wants. D. the economy's optimal production point.