The substitution effect of a price increase causes a decrease in the quantity of an inferior good demanded

One way to solve the problems caused by information asymmetry is:

A. building a reputation. B. signaling. C. screening. D. All of these are solutions to information asymmetry.

Which of the following statements about featherbedding is correct?

A. It could increase production costs, resulting in higher prices for products. B. The quantity of labor demanded by firms could actually decrease. C. It could lead to a lower wage and smaller employment in the long run. D. All of these