The marginal benefit of an activity is i. the benefit from a one-unit increase in the activity. ii. the benefit of a small, unimportant activity. iii. measured by what the person is willing to give up to get one additional unit of the activity

Points to the left of the LM schedule show that

a. the amount of money supplied exceeds the amount of money demanded. b. saving plus taxes will exceed investment plus government purchases. c. the amount of money demanded exceeds the amount of money supplied. d. investment plus government purchases will exceed saving plus taxes.

The cost, c, of a college education that serves only as a signal of a high-quality worker is $10,000. The wage of a known high-quality worker, wh, is $30,000. The wage for a known low-quality worker, wl, is $10,000

For what value of the share of the work force that is of high quality, s, is a pooling equilibrium possible? A) s > 0.5 B) s = 0 C) s = 0.25 D) s < 0.45