When government mandates participation in a program to solve an information asymmetry problem, it is trying to prevent:
A. building a reputation.
B. illegal screening.
C. moral hazard.
D. adverse selection.
Answer: D
You might also like to view...
Consider an economy that is greatly dependent on the U.S. economy for consumer goods and durables. Inflation will increase in the economy if:
A) the dollar appreciates vis-à-vis its own currency. B) the U.S. goes into a recession. C) the dollar depreciates vis-à-vis its own currency. D) the country adopts dollar as its official currency.
If the Consumer Price Index (CPI) decreases from 100 to 50 and the nominal wage decreases from $200 to $50, what is the change in the real wage in terms of the beginning year's dollars?
a. +$200 b. -$100 c. +$50 d. -$200 e. +$250
QN=74 (17772) When economists talk about growth in the economy, they measure that growth as the
a. absolute change in nominal GDP from one period to another. b. percentage change in nominal GDP from one period to another. c. absolute change in real GDP from one period to another. d. percentage change in real GDP from one period to another.
The MC curve is
A. J.
B. K.
C. L.
D. M.