If a macroeconomic variable tends to aid in predicting the future path of real GDP, it is said to be a

Refer to the above figure. An excise tax of $0.50 was imposed on this good. From the figure we can see that the

A) producer will bear most of the tax. B) consumer will bear most of the tax. C) consumer and producer will share the tax. D) amount of the tax collected is less than $0.50.

An example of moral hazard is

a. people drive as carefully in icy conditions with antilock brakes as without b. people drive less safely with more airbags than without c. football players avoid 'spearing' with their heads even with safer helmets d. people read the medicine warnings as carefully when self-medicating as with a doctor's prescription