Unemployment insurance increases frictional unemployment
a. True
b. False
Indicate whether the statement is true or false
True
Economics
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There is a deadweight loss if a natural monopoly is regulated to use
A) marginal cost pricing and if it is regulated to use average cost pricing. B) average cost pricing and if it is allowed to be unregulated and maximize its profit. C) marginal cost pricing and if it is allowed to be unregulated and maximize its profit. D) None of the above answers is correct.
Economics
Menu costs suggest that sticky prices are ____ for firms but _____ for the economy as a whole
a. optimal; suboptimal b. bad; good c. natural; unnatural d. suboptimal; optimal. e. suboptimal; suboptimal
Economics