This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: John wants to buy a new lawn mower. He can either buy it in the US and pay 500 or buy it in Mexico ... (Read 120 times)

bobbysung

  • Hero Member
  • *****
  • Posts: 519
on: Jul 1, 2018
John wants to buy a new lawn mower. He can either buy it in the US and pay 500 or buy it in Mexico and pay 8188 Mexican Pesos. At the exchange rate of 1 Mexican Peso=0.771US, ignoring any other costs, he would
 a. Prefer buying in the US
 b. Prefer buying in Mexico
 c. Be indifferent about where he buys his television
  d. None of the above

Question 2

Adverse selection is caused by
 a. Hidden actions
 b. Hidden information
  c. Both of the above
 d. None of the above


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

livaneabi

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 1, 2018
Answer to Question 1

a

Answer to Question 2

b


bobbysung

  • Member
  • Posts: 519
Reply 2 on: Jul 1, 2018
YES! Correct, THANKS for helping me on my review

ecabral0

  • Member
  • Posts: 310
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

Did you know?

Illicit drug use costs the United States approximately $181 billion every year.

Did you know?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

Interferon was scarce and expensive until 1980, when the interferon gene was inserted into bacteria using recombinant DNA technology, allowing for mass cultivation and purification from bacterial cultures.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

The flukes of a sperm whale as it dives into the Gulf of Mexico The flukes of a sperm whale as it dives into the Gulf of Mexico
John Latham John Latham
John Muir John Muir
The Gun Foundry in Cold Spring, New York, by John Ferguson Weir conveys how much The Gun Foundry in Cold Spring, New York, by John Ferguson Weir conveys how much
Lawn Tennis Lawn Tennis
Lawn tennis racket Lawn tennis racket
Video: Allergic Rhinitis

For a complete list of videos, visit our video library