To an economist, freeway congestion is a sign that the price to drive on the freeway is

A) below its equilibrium level.
B) at its equilibrium level.
C) above its equilibrium level.
D) either a or c
E) none of the above

A

Economics

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Multiple estimates for major expenditures, warranties, and lemon laws all reduce the possible negative consequences of ________

a. bounded rationality b. winner's curse c. optimal search d. asymmetric information

Economics

Sharon pays a tax of $4,000 on her income of $40,000, while Brad pays a tax of $1,000 on his income of $20,000. This tax is:

A. regressive. B. progressive. C. proportional. D. a flat tax.

Economics