If you were trying to explain and predict someone’s behavior, economists would say you should find out ______.
a. what their incentives are
b. how much money they make
c. where they went to school
d. who their relatives are
a. what their incentives are
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Consumers who clip and redeem discount coupons ________.
A. exhibit the same price elasticity of demand for a given product than consumers who do not clip and redeem coupons B. exhibit a relatively higher price elasticity of demand for a given product than consumers who do not clip and redeem coupons C. cause total revenue to decrease for firms that issue coupons for their products D. exhibit a relatively lower price elasticity of demand for a given product than consumers who do not clip and redeem coupons
List the characteristics of a perfectly competitive market
What will be an ideal response?
According to the table above determine which country has the absolute advantage in corn and which in soybeans. In addition, determine which country has the comparative advantage in corn and which in soybeans
Make sure to support your answer by deriving the opportunity costs of each.
Which of the following statements regarding patents is false?
A) Patents can help firms gain market power through innovation and then act as a barrier to entry. B) A firm that has market power as a result of a patent may be more likely to innovate than a perfectly competitive firm. C) Patents encourage the production of information, which might otherwise be under supplied. D) Patents can last for an indefinite time period.