Answer:
c. rent-seeking behavior
Explanation:
In economics, rent-seeking behavior can be described as a behavior or conduct that tries to increase the share of an economic agent or an entity from the existing wealth without adding or creating new wealth. This implies that the entity aims to obtain added wealth without creating a new one.
From the question, the aim of the lawyers is mainly to increase their own wealth in terms of legal fees they will collect from preparing wills, trusts, and other legal documents when they prepare them for people when a law restrict people from self-preparing it using their personal computers. In turn, the lawyers will only increase their share of wealth without adding any wealth.
Therefore, this is an example of rent-seeking behavior.
Answer:
The answer is B.
Explanation:
In purely competitive firms, there are many buyers and sellers that no single buyer or seller can influence the price of goods. They accept the price set by the market conditions which depend on the market supply and demand. Firms in this market are price-takers.
In monopolistic firm, no one is competing against him. He is the only one in the industry. He is the only seller while buyers are many. In most cases, buyers do not have alternative than to buy the product. Because of this, the firm in monopoly sets its price. He is a price-maker.
Answer:
The correct answer is: satisficing.
Explanation:
Satisficing is a term coined by American economist Herbert A. Simon (1916-2001) that is a blend of the terms "<em>satisfying</em>" and "<em>sufficing</em>" and that combined Simon used to illustrate that when we have to make a decision we don't spend much time weighing all the possible options, rather we choose the first reasonable option available.
Answer:
D) $3
Explanation:
Consumer Surplus refers to the difference between the actual price paid by a consumer and the price the consumer was willing to pay. Surplus arises in cases wherein the price consumer was willing to pay exceeds the price he actually paid.
In the given case, the consumer was willing to pay a total of $9 i.e ($5 + $4) for 2 units of pizza. He actually ended up paying $6 i.e ($3 × 2 slices).
Thus, his total consumer surplus can be calculated as $9 - $6 = $3
The correct answer is $13,500
The insurance coverage for the garage will cover the garage for 10% of the insured value of the home. This is calculated by multiplying .1 x $135,000 = $13,500.
Even though there is $15,000 in damage, the garage is only covered for $13,5000 of insurance.
