If the firm hires 5 workers, the total amount of fixed costs ...

[leilurhhh]

If the firm hires 5 workers, the total amount of fixed costs equals
 a. 250
  b. 50
  c. 200
  d. 1200

Question 2

One difference between moral hazard and adverse selection is
 a. Adverse selection has to do with unobservable characteristics of individuals
 b. Adverse selection has to do with unobservable actions of individuals
 c. Adverse selection is when individuals most appropriate for positions are most likely to apply for them
  d. Adverse selection is when you choose the wrong answer on a test

[joanwhite]

Answer to Question 1

b

Answer to Question 2

a

[leilurhhh]

Thanks for the timely response, appreciate it

[amandanbreshears]

YES! Correct, THANKS for helping me on my review