A. receives the benefits of a good but avoids paying for it.
B. pays for a good but fails to receive any benefit from the good
C. fails to produce goods but is allowed to consume goods.
D. produces a good but fails to receive payment for the good
Related Mcqs:
- To try to overcome the free rider problem, the members of EMU signed ?
A. the stability and growth pack
B. the European solidarity packs
C. the exchange rate mechanism pact
D. the responsibility and growth pack - Suppose that requiring motorcycle riders to wear helmets reduces the probability of a motorcycle fatality from 0.3 percent to 0.2 percent over the lifetime of a motorcycle rider and that the cost of lifetime supply of helmets is Rs5000. It is efficient for the government to require riders to wear helmets if human life is valued at ?
A. Rs 150 or more
B. Rs 500,000 or more
C. Rs50,000 or more
D. Rs500 or more
E. Rs100 or more - If in Pakistan real GDP/person in 2004 is Rs18,073 and real GDP/person is 2005 is Rs18,635 What is the growth rate of real output per person over this period ?
A. 3.1 percent
B. 3.0 percent
C. 18.6 percent
D. 18.0 percent - The normal rate of profit for relatively risk-free firms will be _________ the interest rate on risk-free government bonds?
A. approximately one-half
B. smaller than
C. larger than
D. approximately equal to - If a person who works in coal mine gets paid more than a person with a similar background and skills who works in a safer job, then ?
A. coal miners must have greater human capital than others
B. we have observed a compensating differential
C. coal miners must be more attractive than other workers
D. we have evidence of discrimination against workers outside the coal mine - In the ultimatum game, what split would be rational for both the person proposing the split and the person who must accept or reject the split ?
A. There is no rational solution
B. 75/25
C. 99/1
D. 1/99
E. 50/50 - Free port is ?
A. Where no export duties are levied
B. Where no import duties are levied
C. Where no expert or import duties are levied
D. Where everything can be import or export - Free traders maintain that an open economy is advantageous is that it provides all of the following except ?
A. Increased competition for world producers
B. A wider selection of products for consumers
C. The utilization of the most efficient production methods
D. Relatively high wages levels for all domestic workers - In 1979-80 China first created _____ for foreigners to set up enterprises hire labor and import duty-free goods for processing and re-exporting ?
A. special economic zones
B. liberalized trade monopoly zones
C. Economic Union zones
D. Communist free trade areas - Income inequality can be high in the free market and should be reduced This is an example of What ?
A. Judicial economic statement
B. Positive economic statement
C. Formative economic statement
D. Normative economic statement
