An online dating firm is
A. a platform in a matchmaking market.
B. an end user in a shared-input market.
C. an end user in a matchmaking market.
D. a platform in a shared-input market.
Answer: A
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Explain the proposition known as Ricardian equivalence
What will be an ideal response?
David takes 10 minutes to process a customer, and 20 minutes to stock the shelves. Danny takes 15 minutes to process a customer, and 15 minutes to stock the shelves. Which of the following statements is true?
A) Danny has a comparative advantage in processing customers and in stocking shelves. B) David has a comparative advantage in processing customers but not in stocking shelves. C) Danny has an absolute advantage in performing both tasks. D) Danny has a comparative advantage in processing customers but not in stocking shelves. E) David has an absolute advantage in performing both tasks.