When the marginal social benefit curve is relatively steep but unknown, a quantity-based instrument will yield a larger welfare loss on average than will a price-based instrument.

a. True

b. False

Bruno's stock should return 14 percent in a boom, 11 percent in a normal economy, and 4 percent in a recession. The probabilities of a boom, normal economy, and recession are 8 percent, 90 percent, and 2 percent, respectively.

Tom Atoe grows fruits and vegetables for home consumption. This activity is Multiple Choice 1. included in GDP because it reflects production. 2. excluded from GDP in order to avoid double counting. 3.

Mr. and Mrs. Jones had an extensive flood in their basement. They incurred casualty losses of $20,000. Their insurance company reimbursed them for $8,000. The $12,000 unreimbursed amount is deductible as an itemized deduction. a. trueb. false

Samba's responses to madame upon learning he will be hired back in two and a half months are

Kevin owns a fruit stand alongside a busy road. For several years, he has kept track of the number of apples that people purchase at different prices. He decides to graph the number of apples sold and the various prices at which he sold them.

Behavioral economist Richard Thaler has studied several examples of how businesses make use of inconsistencies in consumer decision-making.

Linda underpaid her taxes for the current year by $4,000 due to negligence. a. Calculate Linda's accuracy-related penalty for negligence. $ b.

A retired person with $200,000 to invest states that "current income" is her main investment objective. Which of the following would be most suitable? (A) High yield bonds and growth stocks (B) Municipal bonds, U. S.

How do compliments and substitutes affect demand?

Non-trade receivables should be reported separately from trade receivables. Why is this statement either true or false? A) It is true because trade receivables are current assets and non-trade receivables are long term.