When a tax is imposed on a good, the resulting decrease in consumer surplus is always larger than the resulting decrease in producer surplus
a. True
b. False
Indicate whether the statement is true or false
False
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When an agent attempts to reveal information to the principal, which of the following is occurring?
a. Signalling b. Screening c. Moral hazard d. Asymmetric information
The individual labor supply curve is positively sloped in the short run.
Answer the following statement true (T) or false (F)
For most people, the problems of inflation are caused by the fact that
A. the inflation rate causes the purchasing power of money to increase. B. all prices change so there is no way to protect themselves against the decline in their wealth. C. the inflation is anticipated. D. the inflation is unanticipated.
The change in capital stock in a period is equal to
A. the ratio of the amount of the capital at the beginning of the period to the amount of depreciation. B. the amount of the capital at the beginning of the period minus net investment. C. the amount of the capital stock at the beginning of the period plus gross investment minus depreciation. D. the amount of the capital at the beginning of the period plus gross investment.