Refer to the scenario above. Suppose the amount that you receive, on winning the bet, is increased to $300. Which of the following statements is true?
A) There is no change in the outcome of the game.
B) Your expected value of the bet will be positive.
C) You will withdraw from the bet as the cost of betting increases.
D) The probability of you winning the game increases to 2/100.
B
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Pick the scarce good below with the completely inelastic demand curve
A) Clean air B) Clean water C) Tropical rain forests D) Well-maintained national-forest fisheries E) Trick question: none of the above goods have a completely inelastic demand curve.
Which of the following financial futures contracts are traded in the United States?
A) Interest rates B) Stock indexes C) Currencies D) All of the above
When deciding what to use as money, one characteristic to look for is the:
A. stability of value. B. shape. C. intrinsic value. D. exchange value
________ is maximized when the marginal cost of production equals the marginal benefit to consumers
a. Efficiency b. Productivity c. Social welfare d. Economic profit