One reason for the controversy surrounding the decision by the European Central Bank to buy Greek bonds was that:
A) it may increase moral hazard by encouraging other European governments to issue more debt than private investors were willing to buy
B) it may increase adverse selection by encouraging other European governments to issue more debt than private investors were willing to buy
C) it may result in higher risk premiums as private investors anticipate a default by Greece
D) it may worsen the Greek recession by increasing Greek interest rates
A
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In the figure above, S is the supply curve and D is the demand curve in the unregulated, competitive market for gasoline in Motorland. The external cost of gasoline is constant at $1.50 per gallon
The unregulated, competitive market for gasoline in Motorland A) produces the efficient quantity of gasoline. B) overproduces by 0.2 million gallons of gasoline a month. C) underproduces by 0.1 million gallons of gasoline a month. D) overproduces by 0.1 million gallons of gasoline a month.
What is the name of the case where the court found that the Baltimore Police Department's height requirement which excluded 95 percent of female population but only 32 percent of the male population was discriminatory?
A) Washington v. Davis B) Griggs v. Duke Power Co. C) Miranda v. Arizona D) Vanguard Justice Society v. Hughes