If Tom can wax a car in fewer hours than Jerry, then Tom definitely has
A) a comparative advantage in car waxing.
B) an absolute advantage in car waxing.
C) both a comparative and an absolute advantage in car waxing.
D) neither a comparative nor an absolute advantage in car waxing.
E) an undetermined advantage because we do not know how long it takes Tom and Jerry to wash a car.
B
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When many residents own automobiles that can handicap urban transportation services
Indicate whether the statement is true or false
Banks historically have used the discount window:
A. sparingly, because it is often seen as a sign of financial trouble for a bank. B. often, because it provides instant access to needed funds for banks. C. often, because its low interest rate can serve as a source of profit for banks. D. only during times of economic boom, when there is a high demand for loans.
Suppose a country imposes new restrictions on how many hours people can work. If these restrictions reduce the total number of hours worked in the economy, but all other factors that determine output are held fixed, then
a. productivity and output both rise. b. productivity rises and output falls. c. productivity falls and output rises. d. productivity and output fall.
Each citizen in a small town suffers 5 units of irritation for each bushel of leaves burned in the town. The charge for hauling a bushel of leaves to the land fill is a fee equal to 20 units of irritation. There are 25 people in the town, each of whom minimizes personal irritation and has 10 bushels of leaves. If each person pursues their own self-interest, how much irritation will each person in the town experience from burning leaves each fall?
What will be an ideal response?