Because each customer pays according to her willingness to pay, a consumer maximizes her consumer surplus under first-degree price discrimination
Indicate whether the statement is true or false
FALSE
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A $10,000 8 percent coupon bond that sells for $10,000 has a yield to maturity of
A) 8 percent. B) 10 percent. C) 12 percent. D) 14 percent.
For macroeconomics, banks
A) are similar to other firms. B) can be abstracted away. C) play a key role. D) are similar to households.
Historians typically disagree with which of the following contentions from Time on the Cross?
(a) Slavery was profitable for Southerners and consequently resulted in wealth accumulation. (b) Slavery was on the verge of extinction on the eve of the Civil War. (c) Slave owners were moral and treated slaves with kindness and high standards. (d) Slave breeding and sexual exploitation were myths and slave sales rarely broke up slave families.
Which of the following statements about the private production of a public good is true?
a. Private production is not feasible unless government subsidizes it. b. Private production is only possible for pure public goods. c. Private production is always inefficient. d. Private production is provides useful information about consumer preferences.