Some economists are concerned that the financial rescue provided by the TARP will encourage financial investors and firms to take on greater risks in the future. This is an example of:
A. moral hazard.
B. adverse selection.
C. a prisoner's dilemma.
D. shadow banking.
A. moral hazard.
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Suppose that because of unseasonably cold weather in Florida, a significant portion of the orange crop has been lost to freezing temperatures. This statement means that
A) the demand for oranges will rise. B) the equilibrium quantity of oranges will rise. C) the amount of oranges available at various prices will decline. D) the price of oranges will fall.
Which of the following is not included in GDP but occurs hand-in-hand with improvements in GDP?
a. production b. services c. investment d. environmental protection
Indirect taxes are levied on specific economic activities
a. True b. False Indicate whether the statement is true or false
The AFC curve is
A. J.
B. K.
C. L.
D. M.