Kinks in budget constraints always produce non-convexities in choice sets.
Answer the following statement true (T) or false (F)
False
Rationale: Only inward kinks produce such non-convexities; outward kinks do not.
You might also like to view...
Current account deficits are offset by
A) the liquidity balances. B) capital account surpluses. C) the basic balance. D) balance of trade surpluses.
The prevalent welfare policy is to
A. provide vocational training for welfare recipients, so that they can be self-supporting. B. provide government and private sector employment for those leaving the welfare rolls. C. to basically force welfare recipients to leave the welfare rolls. D. to allow welfare recipients to continue receiving benefits as long as there are children under six years of age in the family.
Which of the following equations correctly describes the quantity equation in terms ofpercentage rate of change? ? means "change in."
A) %?M÷%?V=%?P x %?Y B) %?M+%?V=%?P+%?Y C) %?M÷%?V=%?Y÷%?P D) %?M x %?V=%?P x %?Y
To the degree that the IBEW ensures that through its rigorous training requirements for prospective electricians are qualified to do the work, it is
A. shifting the supply of electricians to the right. B. shifting the demand for electricians to the right. C. kinking the supply of electricians to make it vertical at the level of the constraint. D. shifting the supply of electricians to the left.