Refer to Scenario 5.6. The expected utility of income from research is
A) u($275,000 ).
B) u($95,000 ).
C) [u($500,000 ) + u($50,000 )]/2.
D) .1 u($500,000 ) + .9 u($50,000 ).
E) dependent on which outcome actually occurs.
D
You might also like to view...
Assume a hypothetical case where an industry begins as perfectly competitive and then becomes a monopoly. Which of the following statements comparing the conditions in the industry under both market structures is true?
A) A monopoly will produce less and charge a lower price than would a perfectly competitive industry producing the same good. B) A monopoly will produce more and charge a higher price than would a perfectly competitive industry producing the same good. C) A monopoly will produce more and advertise more than would a perfectly competitive industry producing the same good. D) A monopoly will produce less and charge a higher price than would a perfectly competitive industry producing the same good.
The GDP deflator is
A) an index that utilizes a consumer's market basket of goods in calculating the inflation rate. B) the most general indicator of inflation since it measures changes in the prices of all goods and services in the economy. C) an index used to calculate inflation at the wholesale level. D) the least used index because it is so costly to calculate.
Suppose that a worker in Country A can make either 25 bananas or 5 tomatoes each year. Country A has 200 workers. Suppose a worker in Country B can make either 18 bananas or 6 tomatoes each year. Country B has 400 workers. The workers in Country A should specialize in __________________ because they possess the ___________________ in the production of that good.
A. bananas; comparative advantage B. tomatoes; comparative advantage C. bananas; absolute advantage D. tomatoes; absolute advantage
Brokerage houses may differ in the
a. fees they charge. b. services they provide. c. stock exchanges on which they hold seats. d. All of the above are correct.