When a lack of information exists for parties to a deal:
A. it is always worth getting more information before making a decision.
B. an exchange will never happen.
C. the cost of acquiring information sometimes is prohibitive and not worth it.
D. the exchange will always happen anyway, with little chance of maximizing surplus.
Answer: C
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The health care system in Canada is referred to as ________, and is a system in which the government provides national health insurance to all Canadian residents
A) an out-of-pocket system B) a single-payer health care system C) a universal health insurance system D) socialized medicine
For this question, assume that the Fed sets monetary policy according to the Taylor rule. Suppose current U.S. macroeconomic conditions are represented by the following: ? = ??* and u > un. Given this information, we would expect that the Fed will
A) implement a monetary contraction. B) implement a monetary expansion. C) maintain its current stance of monetary policy. D) more information is need to answer this question.