In behavioral economics, the endowment effect refers to
A) most people believe that most wealthy people inherit their wealth.
B) many people would be indifferent between being endowed with money or knowledge.
C) many people place a higher value on what they own than when they consider purchasing.
D) most people respond to tax incentives to provide an endowment for their children.
C
You might also like to view...
What happens to standards of living over time with stagnant economic growth rates?
a. steady growth b. little change c. regulatory control d. notable decrease
Comparing how many dollars it takes to attend college each year to annual earnings on a job represents the use of money as a:
A. medium of exchange. B. unit of account. C. store of value. D. store of coincidence.
The firm's break-even point occurs at an output of
A. 100.
B. 150.
C. 215.
D. 300.
Network effects and simultaneous consumption tend to foster the development of:
A. Pure competition B. Monopoly power C. Net social benefits D. Allocative efficiency