Which of these is not a valid reason for government intervention into mutually beneficial exchange?
a. The market system might not function at all without government protecting certain rights
b. The market system produces an efficient outcome that the majority does not like
c. The government might be able to undertake some activities more efficiently than the market outcome.
d. The market allocation might be viewed as inequitable, so redistribution might be desired to achieve equity goals.
b
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A firm operating in a perfectly competitive industry will continue to operate if it earns zero economic profits because it is likely to be earning positive accounting profits
a. True b. False Indicate whether the statement is true or false
Which of the following is not an example of a moral hazard problem?
a. A manager stays late one evening so that her employee can leave early to attend his child's music recital. b. A small child takes an extra cookie from the cookie jar when he thinks his mom isn't watching him closely. c. An employee plays solitaire on her computer at 4:30 p.m. on a Friday when her boss has left for the day. d. A customer whose new eyeglasses come with a "60-day insurance policy in case of breakage" leaves her glasses out where her new puppy can chew on them.
The post hoc, ergo propter hoc fallacy consists of:
A. Using an example to "prove" a different point B. Inferring causality from chronological sequence C. Jumping to conclusions from an inadequate number of cases D. Arguing for or against a person's character rather than his view or opinion
Since 1999, ________ U.S. manufacturing jobs may have been lost to Chinese imports, and trade with China has ________ throughout the United States
A) more than 2 million; created other jobs B) more than 2 million; not created any additional jobs C) very few; created more than 2 million jobs D) very few; not created any additional jobs