Shelley wins $1 million in her state's lottery. If Shelley keeps working after she wins the money, we can infer that the substitution effect must exactly offset the income effect for her
a. True
b. False
Indicate whether the statement is true or false
False
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The "perfect information" assumption of perfect competition includes all of the following except one. Which one?
A) Consumers know their preferences. B) Consumers know their income levels. C) Consumers know the prices available. D) Consumers can anticipate price changes. E) Firms know their costs, prices and technology.
The use of tax penalties to control pollution represents a
A. price-based market approach to the pollution problem. B. nonmarket approach to the pollution problem. C. major source of current federal revenues. D. pollution-rights solution to the pollution problem.
Suppose fishermen go fishing at a fishery that has no property rights (meaning any fishermen could fish as she liked). The marginal cost of a fishing boat is constant at $100, and the price for each pound of fish sells at $1. Further, assume the relation between the number of vessels and the total catch is given by the following table: Each boat that goes out get an equal share of all the fish caught and there are 8 boats possible. 
If there were no controls over fishing, how many vessels would be sent out fishing?
A. 8 B. 6 C. 0 D. 7
Angie's list now provides a rating service for physicians. This type of information can potentially help consumers in which stage of the consumer decision making process?
External search Post purchase evaluation Problem recognition Internal search