A manager who believes that all people are valuable and want to contribute to their best ability to ascribe to
a. theory x
b. theory y
c. theory xy
d. management theory
Ans: b. theory y
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An indication that Insurance companies anticipate adverse selection is
a. they do not require a deductible b. they do not classify clients into different risk types according to their claim history c. they classify clients into different risk types according to pre-existing conditions d. they do not require a co-payment
A country must always have a comparative advantage in some product
Indicate whether the statement is true or false
Saving and borrowing is indicative of a family that
a. is most likely to be poor. b. has a difficult time balancing its standard of living. c. does not adjust its standard of living to reflect transitory changes in income. d. is most likely millionaires.
Suppose Jordan and Lee are trying to decide what to do on a Friday. Jordan would prefer to see a comedy while Lee would prefer to see a documentary. One documentary and one comedy are showing at the local cinema. The payoffs they receive from seeing the films either together or separately are shown in the payoff matrix below. Both Jordan and Lee know the information contained in the payoff matrix. They purchase their tickets simultaneously, ignorant of the other's choice. 
Which of the following statements is true?
A. Jordan's dominant strategy depends on Lee's choice. B. For Jordan, seeing a comedy is a dominant strategy. C. For Jordan, seeing a documentary is a dominant strategy. D. Jordan does not have a dominant strategy.