Which of the following is not a reason that the findings of cost-benefit analyses on public goods are only rough approximations?
a. Without prices, it is difficult to be sure how much people really value a good.
b. Analysts can't be sure that the respondents to surveys are telling the truth.
c. Analysis must include not only the cost of building the project but also the cost of maintenance, if any.
d. People value goods differently if they are publicly provided rather than privately provided.
d
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Using the compensating differential approach, the value of a life is calculated as
A) the compensating differential multiplied by the increased chance of death. B) the sum of the compensating differential and the increased chance of death. C) the compensating differential divided by the increased chance of death. D) the difference between the compensating differential and the increased chance of death.
Which of the following is NOT normative economic statement?
A) The minimum wage should be eliminated so unemployment can be reduced. B) Increases in the minimum wage cause increases in unemployment. C) The inflation rate should fall to increase individuals' well being. D) Taxes on cigarettes should be increased to reduce smoking.
Suppose you live in a community of 100 people where everyone who is able to do so seeks work
If 80 people are over 16 years old and 72 of them are employed, what is the unemployment rate in this community?
Describe the pressures that discourage trade.
What will be an ideal response?