If a person is risk averse, then she has
a. diminishing marginal utility of wealth, implying that her utility function gets flatter as wealth increases.
b. diminishing marginal utility of wealth, implying that her utility function gets steeper as wealth increases.
c. increasing marginal utility of wealth, implying that her utility function gets flatter as wealth increases.
d. increasing marginal utility of wealth, implying that her utility function gets steeper as wealth increases.
a
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A country will likely experience an increase in poverty if
A) its population decreases over time. B) its real GDP per person growth rate increases over time. C) it does not receive foreign aid. D) its inflation rate decreases or slows over time. E) its real GDP growth rate decreases or slows over time.
An empty core is more likely if the individuals in a group own highly complementary resources
Indicate whether the statement is true or false
Which of the following explains the vicious circle of poverty? a. By investing in education and infrastructure at the same time, the country can overcome the problems of poverty
b. Poverty arises out of the lack of investment, but they cannot invest because they are poor. c. A nation can shift its production possibility curve inward by shifting more resources into the production of capital goods. d. A nation can shift its production possibility curve outward by shifting more resources into the production of consumer goods. e. There are dual economies in the world: Some are rich and others are poor.
Scarcity is a situation in which resources are unlimited in quantity and can be used in different ways.
Answer the following statement true (T) or false (F)