An example of statistical discrimination would be:
A. charging young drivers a higher premium than older drivers.
B. charging homes near a lake higher premiums for flood insurance than those on a hill.
C. assuming the food will be better at an Italian restaurant than a Chinese one in the Little Italy neighborhood of NYC.
D. All of these are examples of statistical discrimination.
D. All of these are examples of statistical discrimination.
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Nontariff barriers often take the form of:
A) tariffs. B) fees and surcharges. C) health and/or safety restrictions. D) import quotas.
Which of the following is good evidence against the classical view of Say's law?
A) Investment does not always rise as interest rates fall. B) Consumption falls by the amount that saving increases. C) Exports are usually greater than imports. D) People save more at higher interest rates than lower interest rates. E) none of the above