At a fair carnival roulette wheel, a player can either win $10, $30, or $80 . Assuming a rational player, how much should the game owner charge the player, to maximize his own profit?
a. $30
b. $40
c. $50
d. $80
b
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Which of the following exchange rate policies uses a target exchange rate, but allows the target to change?
A) crawling peg B) flexible exchange rate C) fixed exchange rate D) moving target
Suppose people value clean air more as their incomes increase. What would happen to the optimal amount of clean air as a country develops economically? Is there an economic prediction we can make from this?
What will be an ideal response?
The distinctive feature of a progressive tax is that the dollar value of taxes paid rises as income rises
Indicate whether the statement is true or false
GDP per capita is a relatively good measurement of:
A. the distribution of income. B. purchasing power. C. household production. D. the standard of living.