If cable TV service and satellite TV service are substitutes,

What will be an ideal response?


a decrease in the price of cable will decrease the demand for satellite TV.

Economics

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Which of the following is an example of moral hazard?

A) I hire you to work in my garden for a fixed fee, and you work hard all day. B) I hire you to work at an hourly rate and you work as slowly as possible. C) You apply for the job only because I pay a fixed wage per day, no matter how much or little you do. D) You agree to be paid by the weed to work in my garden, and then don't work hard.

Economics

Alice, Bob, and Cody live in Wesland. Their annual incomes and the amounts they pay in income tax are shown in the table below. Income Tax Alice 30,000 6,000 Bob 50,000 7,500 Cody 100,000 12,000 The income tax in Wesland is

A) proportional. B) regressive. C) flat-rate. D) progressive.

Economics

Country X has a high unemployment rate. It follows that country X is operating

A) beyond its production possibilities frontier (PPF). B) on its PPF. C) inside (below) its PPF. D) at a productive efficient point. E) b and d

Economics

Supply restrictions in the farming industry occur in the form of

A. Production subsidies. B. Import quotas. C. Government stockpiles. D. Price supports.

Economics