The concept of mean reversion is defined by
a. the tendency of profits to revert to zero
b. the tendency of costs to revert to zero
c. the tendency of economic profits to revert to zero
d. the tendency of profits to revert to negative
c
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Player 1 and Player 2 are playing a game in which Player 1 has the first move at A in the decision tree shown below. Once Player 1 has chosen either Up or Down, Player 2, who can see what Player 1 has chosen, must choose Up or Down at B or C. Both players know the payoffs at the end of each branch. 
What is the equilibrium outcome of this game?
A. Player 1 chooses Down and Player 2 chooses Up. B. Player 1 and Player 2 both choose Down. C. Player 1 chooses Up and Player 2 chooses Down. D. Player 1 and Player 2 both choose Up.
The minimum wage can be thought of as a price floor. The great majority of labor economists believe that a minimum wage __________ unemployment among young and unskilled workers
a. increases b. decreases c. eliminates d. has no effect on e. There is not enough information to answer the question.
Cyclical unemployment rises and falls with fluctuations in the macroeconomy
a. True b. False Indicate whether the statement is true or false
A tax loophole is
a. an illegal method by which individuals or corporations avoid paying the taxes they legally owe. b. a provision in the tax code that allows individuals or corporations to reduce their tax burdens legally by meeting certain conditions. c. a tax surcharge on incomes within certain ranges. d. a provision in the tax code that allows individuals or corporations to shift the economic incidence of a particular tax on to someone else.