?How does an increase in income affect the market for iPads (normal good)?

If, for a $1000 premium, you buy a $100,000 put option on bond futures with a strike price of 110, and at the expiration date the price is 114, your ________ is ________

A) profit; $1000 B) loss; $1000 C) profit; $3000 D) loss; $3000

Labor productivity rises as the amount of capital available to workers increases

a. True b. False Indicate whether the statement is true or false

Which of the following statements is true?

A. Specialization and trade along the lines of comparative advantage allows nations to consume more than if they were to produce just for themselves. B. Free trade theory suggests that when trade takes place any gains made by one nation comes at the expense of another. C. According to the theory of comparative advantage, a nation should specialize in the production of those goods for which it has an absolute advantage. D. One country can have the comparative advantage in both goods, but it can only have the absolute advantage in one good as long as the opportunity costs are different.

An economist secures volunteers from her college campus and divides them into two groups that are ushered into different rooms. Both groups are given a test. Those in the first group who score 90 percent or more receive an Apple iPad. Upon exiting the room, those given iPads are offered the choice of receiving $150 in exchange for the iPad. Only a few take the exchange. Those in the second group who score 90 percent are offered either an Apple iPad or $150. About half the students choose $150. The professor uses this data to support a principle known as the endowment effect. The professor is engaging in:

A. natural experiments. B. the economic decision rule. C. experimental economics. D. a market coordination mechanism.