One major assumption of economics is that people A) act as if ...

[LCritchfi]

One major assumption of economics is that people
 
  A) act as if they systematically pursue self-interest.
  B) behave randomly without any predictable pattern.
  C) are sometimes rational and sometimes irrational.
  D) always pursue the interests of others.

Question 2

When misallocation of resources for production of a good results in spillover effects on third parties, there is a
 
  A) market failure.
  B) government failure.
  C) legislative failure.
  D) productive failure.

[ally]

Answer to Question 1

A

Answer to Question 2

A

[LCritchfi]

Excellent

[atrochim]

Gracias!