For a given set of prices, two consumers choose bundles that are off the contract curve. In a competitive market,
A) prices will adjust until the consumers choose bundles that are on the contract curve.
B) the indifference curves will shift back to the contract curve.
C) the contract curve will shift to connect these bundles.
D) no adjustments need to be made.
A
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Refer to Scenario 12.1. What is the probability of Paula trying to rescue the man and Simon not helping?
A) 9% B) 21% C) 49% D) 70%
Which of the following was not a major area addressed by the Dodd-Frank Bill (i.e., Wall Street Reform and Consumer Protection Act of 2010)
a. Ensuring that investment banks and others had "skin in the game" by restricting their ability to securitize 100% of their mortgage-backed loans. b. Reducing systemic threats to the U.S. financial system. c. Solving the "too big to fail" problem in the U.S. financial system. d. Improving credit rating agency performance and accountability. e. All of the above.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4Refer to Figure 2.4. The economy moves from Point A to Point D. This could be explained by
A. an increase in economic growth. B. a change in society's preferences for motorcycles versus hybrid cars. C. a reduction in unemployment. D. an improvement in technology.
Employment discrimination is a source of
A. economic inefficiency. B. increased economic growth. C. innovation. D. shifting production possibilities. E. All of the responses are correct.