In markets with asymmetric information
A) asymmetric information causes moral hazard and then it causes adverse selection.
B) moral hazard causes adverse selection which in turn causes asymmetric information.
C) asymmetric information causes adverse selection and then it causes moral hazard.
D) adverse selection causes moral hazard which in turn causes asymmetric information.
C
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The makers of the movie Titanic have some monopoly power over this film because the
A) movie is patented. B) name Titanic is trademarked. C) movie is protected by copyright law. D) government has issued the maker of this movie a public franchise. E) owner never price discriminated in marketing the movie.
According to Edward Denison, the major source of labor productivity is
a. improvements in labor quality. b. economies of scale. c. the changing composition of the labor force. d. technological progress. e. education per worker.