An example of a capability considered in the capabilities approach would be:
A. living free of the fear of violence
B. to have the ability to purchase an item you really want.
C. earning a livable wage.
D. being able to afford a nice home.
Answer: A
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Based on the circular flow diagram, how are households and firms similar?
a. Both receive a profit.
b. Both receive revenue from exports.
c. Both pay wages to employees.
d. Both pay taxes to the government.
A monopoly incurs a marginal cost of $1 for each unit produced. If the price elasticity of demand equals -2.0, the monopoly maximizes profit by charging a price of
A) $1.00. B) $1.50. C) $2.00. D) $3.00.
If you drive on a rural stretch of highway and come upon an intersection in which there is only one gas station, and you know it to be the only one for 100 miles, it is a
A. monopolist. B. monopolistic competitor. C. perfect competitor. D. oligopolist.
For ________ goods, market demand is the horizontal summation of individual demand curves and for ________ goods, market demand is the vertical summation of individual demand curves.
A. public; private B. nonexcludable; excludable C. private; public D. nonrival; rival