GDP will tend to overstate the productive capacity of a country when
a. economic bads like pollution are produced and then must be cleaned up.
b. there is a sizable underground economy.
c. nonmarket production represents a large portion of the economy.
d. working conditions improve, allowing jobs to be completed safer and faster.
A
Economics
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A strategy in which a player uses probabilities to decide which strategy to use is called a
A) pure strategy. B) mixed strategy. C) Pareto strategy. D) coin flip strategy.
Economics
Consider a good whose own price elasticity of demand is -0.5 and price elasticity of supply is 1.5. The fraction of a specific tax that will be passed through to consumers is ________
A) 0 B) 0.25 C) 0.5 D) 0.75 E) 1
Economics