Alex and Ben are both loggers wanting to harvest timber from the same forest. Alex prefers to harvest and replant at a sustainable rate; Ben wants to harvest as many trees as possible to maximize short-run profit, and then move on. They face the same
production costs. Refer to the information given. If no explicit property right is given over the forest land, then:
A. a property right will be established when trees are cut down and brought to market.
B. there is no property right over the harvested timber.
C. Alex and Ben will likely work out an agreement on harvesting and replanting the land.
D. that implies that government owns and regulates its use.
Answer: A
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In the Malthusian model, improvements in health care lead to
A) higher population and higher per-capita production. B) higher population and lower per-capita production. C) lower population and higher per-capita production. D) lower population and lower per-capita production.
Asymmetric information refers to differences in information possessed by parties engaged in trade
Indicate whether the statement is true or false