Winner's curse is likely to happen in which of the following auctions?
A) unexplored oil reserves
B) corn stored in a warehouse
C) 1,000 ton of iron ore
D) U.S. Treasury Bonds
A
You might also like to view...
A firm that is a monopolist in the output market and a monopsonist in the input market
A) will hire the same amount of labor as if perfect competition prevailed in both markets, but pay a lower wage. B) will restrict the level of output but not that of employment compared to the perfectly competitive case. C) will hire less labor but pay the same wage compared to the perfectly competitive case. D) will hire less labor and pay a lower wage compared to the perfectly competitive case.
Given a consumer's indifference map, the demand curve for a good can
a. be derived by moving a consumer's budget constraint as her income falls. b. be derived by moving a consumer's budget constraint as her income rises. c. be derived by moving a consumer's budget constraint as the market price of one good changes. d. not be derived from consumer theory.
The ease with which an asset can be converted into the economy's medium of exchange is known as _____
Fill in the blank(s) with correct word
The price of an airline ticket from Denver to Chicago costs $450. A bus ticket costs $150. Traveling by plane takes 2 hours compared with 32 hours by bus. Other things constant, Erica would gain by choosing air travel if, and only if, she values her time at more than
A) $5 per hour. B) $300 per hour. C) $10 per hour. D) $9.38 per hour.