Behavioral economists have found that people are more willing to save if saving is the default option, as in the case in which they have to opt out of an automatic payroll deduction savings plan. Economists call this:
A. the status quo bias.
B. efficient rationality.
C. a rule of the game.
D. the ultimatum game.
Answer: A
You might also like to view...
We assume that when a firm hires additional workers, the marginal physical product of labor will
A) increase because more workers can always get more work done. B) decrease because the new workers are likely to be less able than the previously hired ones. C) decrease because each worker now has less capital and other resources to work with. D) increase because large firms are more efficient.
In what setting would the efficiency wage model best apply?
a. a market research firm in Italy b. a restaurant group in China c. a consumer electronics retail store in Indonesia d. a bicycle parts manufacturing plant in the United States
Refer to the above table. The table represents information on the costs for Ajax Corporation. Ajax operates in a perfectly competitive market and the price of the product is $9. What does profit equal when quantity equals 3?
A. $13 B. $6 C. $10 D. $2
The increase in the productivity of U.S. farmers has caused:
A. More people to be attracted to farming B. A decrease in the size of the average farm C. A reduction in the number of people in farming D. A reduction in the surpluses produced by farmers