Refer to the scenario above. If they are the only bidders in the auction, Jeff will win the auction if ________
A) Tom and Roger bid up to their value for the good while Bill and Jeff bid below their value of the good
B) Tom and Jeff bid up to their value for the good while Roger and Bill bid below their value for the good
C) Bill and Jeff bid up to their value for the good while Tom and Roger stop bidding at $100 and $200, respectively
D) each of them bids up to his value for the good
C
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A U.S. citizen buys some toys made in China for his son. This is an example of a(n) ________
A) transfer payment to the U.S. B) import by China C) transfer payment to China D) export by China
Maria can work as a coal miner, where the probability of being killed in a work-related accident is 5/8,000, or she can earn work as a truck driver, where the probability of being killed in a work-related accident is 2/8,000
Using the compensating differential approach, the value of Maria's life is $4 million. How much more per year will working as a coal miner pay than working as a truck driver? A) $1,500 B) $2,000 C) $2,500 D) $3,500