The price of an airline ticket from Denver to Washington, D.C. costs $600. A bus ticket costs $150. Traveling by plane takes 6 hours compared with 51 hours by bus. Other things constant, an individual would gain by choosing air travel if, and only if, his time were valued at more than
What will be an ideal response?
$10 per hour.
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All Gini coefficients must lie between 0 and 1. The lower the value
A) the closer the income distribution is to being equal. B) the lower the degree of poverty according to the federal government's definition of poverty. C) the greater the degree of poverty. D) the more unequal the income distribution.
In a multiple regression framework, the slope coefficient on the regressor X2i
A) takes into account the scale of the error term. B) is measured in the units of Yi divided by units of X2i. C) is usually positive. D) is larger than the coefficient on X1i.
Corey visits a computer store. After Alicia shows him several laptop models, Corey picks one out and gives Alicia $1,200 to pay for it. Which function of money does this best illustrate?
a. medium of exchange b. store of value c. means of deferred payment d. unit of account
Which broad field of economics would most likely study how consumers respond to a hike in cigarette taxes?
A. Marginal economics B. Monetary economics C. Microeconomics D. Macroeconomics