Suppose one of baseball's most controversial records - the Bonds' career home run record - were on the line. Tickets to the games leading up to breaking of the record might command three times the face-value price for tickets. Economists would suggest that a scalping market would appear and it
A. cause the price to fall back to the face value.
B. cause the price to fall below the face value.
C. would make all ticket holders and potential buys worse off.
D. would make all ticket holders and potential buys better off (or at least no worse off).
Answer: D
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a. True b. False
Which prices are used to measure goods and services in calculating the nominal GDP?
A. past years prices B. current prices C. average prices D. projected prices
Economic growth is severely impeded in economies:
A. with a lack of clear property rights. B. with a strong market system. C. with high rates of convergence. D. which encourage induced innovation.
Ravi notices that all of his neighbors who own cats are also divorced, and concludes that cat ownership must result in divorce. Ravi is
A. correct in his analysis. B. describing regression discontinuity. C. describing difference-in-differences. D. confusing correlation and causation.