True
False
Moral hazard exists when a person does not have high moral standards
True
False
Hope scholarship was aimed to make colleges more affordable
True
False
Companies who offer rebates for safe driving are trying to deal with the moral hazard problem
True
False
Past health history is an example of a hidden action
True
False
The market for lemons explains the adverse selection problem
True
False
An increase in wages increases productivity
True
False
Going to college increases your human capital
True
False
Political stability is an important factor in a country's standard of living
True
False
Immigration decreases productivity
True
False
Japan has a limited amount of natural resources
True
False
A future contract is beneficial to the farmer when prices of the commodity rise
True
False
Stocks are usually safer than bonds and have higher return rates
True
False
Value of bond increases as interest rates increase
True
False
The market efficiency hypothesis says that all stocks are fairly valued
True
False
One of the determinants of the stock price is the future profitability of a company
True
False
The majority voting rule is always better than the plurality voting rule
True
False
Politicians always agree with each other because they want to implement the same policies
True
False
The median voter decides the outcome of the election in case of a tie
True
False
Lobbyists promote policies supported by the majority of voters
True
False
The individual vote is most likely not going to determine the outcome of a major election
True |
False |
Moral hazard exists when a person does not have high moral standards |
True |
False |
Hope scholarship was aimed to make colleges more affordable |
True |
False |
Companies who offer rebates for safe driving are trying to deal with the moral hazard problem |
True |
False |
Past health history is an example of a hidden action |
True |
False |
The market for lemons explains the adverse selection problem |
True |
False |
An increase in wages increases productivity |
True |
False |
Going to college increases your human capital |
True |
False |
Political stability is an important factor in a country's standard of living |
True |
False |
Immigration decreases productivity |
True |
False |
Japan has a limited amount of natural resources |
True |
False |
A future contract is beneficial to the farmer when prices of the commodity rise |
True |
False |
Stocks are usually safer than bonds and have higher return rates |
True |
False |
Value of bond increases as interest rates increase |
True |
False |
The market efficiency hypothesis says that all stocks are fairly valued |
True |
False |
One of the determinants of the stock price is the future profitability of a company |
True |
False |
The majority voting rule is always better than the plurality voting rule |
True |
False |
Politicians always agree with each other because they want to implement the same policies |
True |
False |
The median voter decides the outcome of the election in case of a tie |
True |
False |
Lobbyists promote policies supported by the majority of voters |
True |
False |
The individual vote is most likely not going to determine the outcome of a major election |