Multiple Choice
Suppose that a hurricane hits both North Carolina and South Carolina. North Carolina has severe price-gouging laws in place while South Carolina has none. Both states have a shortage of ice. Which state will recover from its ice shortage more quickly?
A) North Carolina will recover more quickly because prices can adjust to make businesses willing to invest in ice production.
B) South Carolina will recover more quickly because prices can adjust to make businesses willing to invest in ice production.
C) North Carolina will recover more quickly because the anti-gouging laws create incentives to invest in ice production.
D) South Carolina will recover more quickly because the anti-gouging laws create incentives to invest in ice production.
Correct Answer:
Verified
Correct Answer:
Verified
Q190: The advantages of prediction markets include:<br>A) the
Q191: Modern Bytes Computers allows its sales team
Q192: When Walmart arrives in a small town,
Q193: When the prices of necessities such as
Q194: Speculators:<br>A) help stabilize prices over time.<br>B) profit
Q196: Can speculators who expect prices to rise
Q197: From the chapter discussion, why did increased
Q198: Which statement explains why many economists have
Q199: The Iowa Electronic Markets:<br>A) predicted that Obama
Q200: When firms go bankrupt, the bankruptcy:<br>A) indicates