An economist might say that people choose not to get a college degree because they may have to borrow money to go to college, and the interest they have to pay on that loan in the future will affect their decisions today. This is an example of which kind of statement?

The merger of firms in different unrelated industries is known as:

a. a horizontal merger. b. a conglomerate merger. c. a vertical merger. d. a hostile takeover.

When a group of people stand to gain from an action that is not rational for any of the members to undertake individually, it is referred to as a:

A. free-rider problem. B. collective-action problem. C. moral hazard problem. D. societal-wellbeing problem.