Adverse selection and moral hazard problems arise when there is
A. symmetric information.
B. too much information.
C. asymmetric information.
D. complete information
Answer: C
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The U.S. federal government spent more than $4 trillion in 2018, which implies that there were no opportunity costs faced by the United States.
Answer the following statement true (T) or false (F)
Factors of production are usually divided into all of the following categories except
A) labor. B) capital. C) interest. D) natural resources.
Suppose the government used the following formula to compute a family's tax liability: Taxes owed = 28% of income - $8,000 . How much would a family that earned $18,000 owe?
When analyzing a problem, if an economist is attempting to understand what caused something to happen without considering whether or not the action was fair or just, the economist is thinking
A. positively. B. normatively. C. justifiably. D. negatively.