Jane started eating more junk food and taking less care of her health after she bought life insurance. Her behavior is an example of ________
A) moral hazard
B) adverse selection
C) the paradox of thrift
D) the free-rider problem
A
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The corporate income tax is the single largest source of revenue for the federal government.
Answer the following statement true (T) or false (F)
The self-correcting tendency of the economy means that falling inflation eventually eliminates:
A. exogenous spending. B. recessionary gaps. C. expansionary gaps. D. unemployment.
Lentz's Incorporated sells paper in a perfectly competitive market at a price of $2 per ream. At the profit-maximizing (cost-minimizing) level of output, average total cost is $2.50 per ream and average variable cost is $1.95 per ream
Should the firm continue to operate in the short run? Explain.
An organizational form that is structured around basic business functions is called
A) M-form. B) U-form. C) a matrix. D) a network.