Author Question: Compared to a direct cash transfer payment of an identical amount, food stamps make individuals who ... (Read 89 times)

09madisonrousseau09 · **on:** Jul 1, 2018

Compared to a direct cash transfer payment of an identical amount, food stamps make individuals who desire less food than the value of the food stamps _____.

a. better off
b. worse off
c. indifferent between food and all other goods
d. prefer food too all other goods on the margin

Question 2

The winner's curse occurs when

A) bidders shade their bids.
B) the winning bid is higher than the good's common value.
C) the winner buys something he didn't need.
D) the winning bid is higher than the private value of the good.