The goods market equilibrium condition in an open economy shows that

An export subsidy is

A) a payment to a firm or individual that ships a good abroad. B) a fee that is charged to a country that ships goods to the U.S. C) a payment made to a foreign government in return for preferential trade treatment. D) illegal in the U.S. but is fairly common in the rest of the world. E) a limit on the quantity of a good or service that can be sold abroad.

An insured person's incentive to behave in ways that raise the probability of a claim is known as:

a. a moral hazard. b. the lemons problem. c. the problem of adverse selection. d. the problem of advantageous selection.