Author Question: The reservation value of a buyer reflects her ________. A) willingness to pay for a good or ... (Read 40 times)

Yi-Chen · **on:** Jun 29, 2018

The reservation value of a buyer reflects her ________.

A) willingness to pay for a good or service
B) trade-off between buying various goods and services
C) total utility from a good or service
D) total income

Question 2

Which of the following is an important difference between government and privately-owned enterprises?

A) Government can distribute goods without employing discriminatory rationing criteria.
B) Government can more easily use negative incentives to obtain resources.
C) Government does not produce exchangeable commodities or services.
D) Government provides services at a lower opportunity cost.
E) Government tends to pay close attention to the varying preferences of the people.