Author Question: Jaime's father gives her a pen for her graduation from college, but Jaime wants a smartphone. This ... (Read 99 times)

humphriesbr@me.com

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Jaime's father gives her a pen for her graduation from college, but Jaime wants a smartphone. This implies that
 
  A) Jaime's father is not acting out of self-interest because he knows that she really wants a smartphone.
  B) Jaime's father is acting out of self-interest because he wants to give her something useful.
  C) Jaime is not acting out of her self-interest by wanting something different from what her father gives her.
  D) Jaime is not rational by asking for a smartphone instead of a pen.

Question 2

A government action that can help correct positive externalities is
 
  A) a tax on producers of the good that provides external benefits.
  B) a subsidy to consumers of the good that provides external benefits.
  C) an effluent fee charged to producers of the good that provides external benefits.
  D) regulations aimed at reduced production by sellers of the good that provides external benefits.



strudel15

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Answer to Question 1

B

Answer to Question 2

B



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