Labor-augmenting technological advances decrease the marginal productivity of labor

For a single-price monopolist, marginal revenue falls faster than price (as output rises) because

A) the firm has no supply curve. B) in order to sell additional units, the price must be lowered on all units. C) the cost of producing extra units of output increases as production is increased. D) profits are maximized when marginal cost equals marginal revenue. E) none of the above — marginal revenue does not fall faster than price.

An example of moral hazard is

a. people drive as carefully in icy conditions with antilock brakes as without b. people drive as safely with more airbags as without c. football players 'spear' with their heads when tackling more often with safer helmets d. people read the medicine warnings as carefully when self-medicating versus with a doctor's prescription