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Author Question: Governments are often forced to bail out large banks to prevent the entire economy from being ... (Read 95 times)

melly21297

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on: Jun 29, 2018
Governments are often forced to bail out large banks to prevent the entire economy from being affected adversely. This provision often encourages banks to invest in risky assets. This is an example of ________.
 
  A) moral hazard
  B) a positive externality
  C) adverse selection
  D) anchoring

Question 2

What is the biggest problem of using government actions such as taxes and pollution charges to control external costs?
 
  A) insufficient legal power to enforce the controls
  B) obtaining enough data to determine how much the tax or pollution charge will be
  C) In some situations, there is no known way to control the external costs.
  D) political lobbying and voter disagreement
  E) The Coase theorem points out that taxes and pollution charges work only in the short run and not in the long run.
Foundations of Microeconomics ¦ Bade, Parkin ¦ 8th Edition
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coyin

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Reply #1 on: Jun 29, 2018
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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melly21297

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Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

komodo7

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Reply 3 on: Yesterday
Excellent

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