Author Question: If country A had a smaller underground economy than country B, and country A's citizens worked more ... (Read 291 times)

Pineappleeh

  • Hero Member
  • *****
  • Posts: 585
If country A had a smaller underground economy than country B, and country A's citizens worked more hours per week than the citizens of country B, other things equal, then
 a. GDP comparisons between the countries would overstate the economic welfare of country A compared to B.
  b. GDP comparisons between the countries would understate the economic welfare of country A compared to B.
  c. it is impossible to know which direction GDP comparisons between the countries would be biased as measures of the economic welfare of the two countries.
  d. it would not introduce any bias in using GDP to compare economic welfare between the countries.

Question 2

A piece of land is divided between John and Mary. However, only John gets the title to his share of land. Which of the following is true?
 a. Both Mary and John will not take care of their lands.
  b. Mary will have a higher per capita output from her piece of land.
  c. John will not be able to rent out a portion of his land.
  d. Mary will have a greater incentive than John to invest in her piece of land.
  e. John will be able to use his land as collateral for a loan from a bank.



Missbam101

  • Sr. Member
  • ****
  • Posts: 341
Answer to Question 1

a

Answer to Question 2

e



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Medication errors are three times higher among children and infants than with adults.

Did you know?

There are 20 feet of blood vessels in each square inch of human skin.

Did you know?

The National Institutes of Health have supported research into acupuncture. This has shown that acupuncture significantly reduced pain associated with osteoarthritis of the knee, when used as a complement to conventional therapies.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Certain topical medications such as clotrimazole and betamethasone are not approved for use in children younger than 12 years of age. They must be used very cautiously, as directed by a doctor, to treat any child. Children have a much greater response to topical steroid medications.

For a complete list of videos, visit our video library