The amount of corruption that occurs in a government is hard to measure because:
A. it is illegal, and therefore hidden.
B. the benefits subtracted from the costs often go to a small number of people and distort the reality.
C. its costs are mostly indirect and nearly impossible to measure.
D. All of these are true.
Answer: A
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Refer to Scenario 7.2. What is the marginal cost of the 60th earthquake detector?
A) 0 B) 5 1/2 C) 3 D) 5 E) none of the above
In the expression Pr(deny = 1| P/I Ratio, black) = ?(-2.26 + 2.74P/I ratio + 0.71black), the effect of increasing the P/I ratio from 0.3 to 0.4 for a white person
A) is 0.274 percentage points. B) is 6.1 percentage points. C) should not be interpreted without knowledge of the regression R2. D) is 2.74 percentage points.
The general formula for calculating the desired fiscal stimulus is
A. AD shortfall × the multiplier. B. AD shortfall ÷ the multiplier. C. 1/(AD shortfall ÷ the multiplier). D. 1/(AD shortfall × the multiplier).
If marginal cost is below average cost, marginal cost must be rising.
Answer the following statement true (T) or false (F)