Prospect theory can explain why
A) people tend to gamble on long odds with small expected utility.
B) people tend to sell their losing stocks and keep their winning stocks.
C) people should only sell their losing stocks.
D) people should never play the lottery.
B
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The reason an unregulated natural monopolist will produce at an economically inefficient quantity is
A) due to the fact that the monopolist will equate marginal cost with price to determine the output level. B) due to the fact that the monopolist will equate average total cost with price to determine the output level. C) that the price does not equal the true marginal cost of producing the good. D) that the monopolist will produce a quantity greater than the minimum of the average total cost curve.
When the prices of food and gasoline are added to core inflation, we get:
A. core deflation. B. headline inflation. C. hyperinflation. D. adjusted inflation.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. For this economy to move from Point C to Point B, ________ additional LCD TVs could be produced when the production of OLED TVs is reduced by 20.
A. exactly 30 B. exactly 60 C. fewer than 30 D. more than 30
Refer to the above table. Which country had the largest increase in per capita real GDP between 2014 and 2015?
A) A B) B C) C D) D