A risk averse individual
a. values a lottery at more than its expected value
b. values a lottery at exactly its expected value
c. values a lottery at less than its expected value
d. tends to play lots of lotteries
c
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Which of the following provides the foundation of the case for free trade?
a. The law of diminishing marginal utility b. The anti-dumping argument c. The industrial diversity argument d. The theory of comparative advantage
The most important reason for why some people have higher incomes than others is
A. employment discrimination. B. differences in wages and salaries. C. property income. D. government transfer payments.
What impact do tax rebates have?
What will be an ideal response?
Which of the following is NOT one of the programs through which the U.S. government attempts to redistribute income to the poor?
A. The Supplemental Nutrition Assistance Program (food stamps) B. Unemployment insurance C. Medicare D. The Works Progress Administration (WPA)