The substitution effect
A. is when individuals consume more of one good and less of another.
B. is associated with changes in relative prices.
C. will have no effect if goods are unrelated.
D. all of these answer options are correct.
D. all of these answer options are correct.
Economics
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The principal-agent problem arises in labor markets because:
A. a firm may realize excessively large profits. B. workers may provide less-than-expected work effort. C. compensating wage differences do not pay for differences in the nonmonetary aspects of jobs. D. human capital investments vary among workers.
Economics
National defense is an example of a _____________________.
Fill in the blank(s) with the appropriate word(s).
Economics