Which of the following is NOT given in the video as an example of a real shock?
A. high inflation
B. bad weather
C. wars
D. changes in the price of oil
Ans: A. high inflation
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Most college professors are granted tenure after six years of employment. Tenure implies a lifetime appointment. What problem does this situation create, and how can colleges minimize the problem?
What will be an ideal response?
It's easy for a private firm to provide a public good because of free riders
a. True b. False Indicate whether the statement is true or false
A computer services center has a problem with "malicious" computer usage. The center's director has decided to hire additional personnel to monitor computer usage. In order to minimize the total cost of the malicious usage, the director should hire the number of monitors at which
A. the marginal benefit per dollar is equal across monitors. B. the decrease in the cost of malicious usage from the last monitor hired equals the cost of hiring the last monitor. C. the marginal revenue from the last monitor equals the marginal cost of the last monitor. D. both b and c E. all of the above
If the price of airline travel in Europe falls and the demand for train travel in Europe also falls, then the two goods are
A) complements. B) normal goods. C) substitutes. D) inferior goods.