If the price of a resource is greater than its marginal revenue product, the firm should:

Each member in a group might do what's best for himself or herself instead of behaving in a way that optimizes the well-being of the entire group. This gives rise to the problem of:

A) Pareto inefficiency. B) free riding. C) irrational behavior. D) disequilibrium.

Julia is a 28-year-old nonsmoking, non-drinking female of normal weight. Because of adverse selection in health insurance,

A) She will be charged less for her premiums than people who are higher risks. B) She is less likely to buy health insurance than the average person, because policy premiums are based on expected medical expenditures of people who are less healthy than she is. C) When she get health insurance, she will be less likely to take care of herself. D) She must get health insurance early in life, and is likely to lose health insurance if she smokes, drinks to excess, or gains weight. E) She is more likely than the average person to buy health insurance, because she is more likely to be offered it.