Payment (to ship captains) was to be offered for each prisoner that was taken aboard the ships.
Payment (to ship captains) was made independent of the regulations passed for prisoner welfare.
Regulations were passed so that prisoners could get better food, water, and medical care.
Payment (to ship captains) was made dependent on the survival rate of prisoners.
Paying for each prisoner who walked off the ship in Australia.
Paying for food and water to reduce costs of caring for prisoners during the transit.
Doing nothing, since the suggested change would not matter.
That new regulations be passed to require prisoner safety and health.
Pedagogical economics the continuous assessment of student performance in an effort to maximize student efficiency.
Hidden costs—the costs borne by taxpayers in the form of wasteful school spending.
Incentives the rewards and penalties that motivate behavior.
Screening theory—the identification of individuals or groups based on various performance measures.
Actions of producers but not consumers.
Actions of consumers but not producers.
Choices of individuals only when they buy and sell goods in the marketplace.
Choices of individuals with regard to a wide range of activities, including those generally perceived as social or political.
The ship's captain is paid $100 by the government for every live prisoner that is loaded on board at Point A.
The ship's captain is paid $100 by the government for every live prisoner that is unloaded at Point B.
The ship's captain is paid $400 by the government for every live prisoner that is loaded on board at Point A.
The ship's captain is paid a flat rate of $3,000 for the trip, rather than being paid per prisoner.
Not out of benevolence that; from their regard for their own self-interest
Out of benevolence that; sometimes from their regard for their own self-interest
Not out of self-interest that; out of their benevolence
From charity and good will that; only if they can charge high prices
Markets will still manage to reach an efficient outcome.
Governments may improve the situation by changing incentives.
Societal costs will always exceed individual benefits.
Individual benefits will exceed societal benefits.
The enactment of government policies that increase incentives to work and trade.
Increasing international trade.
Banning free markets by the government.
A mother prevents her children from becoming vaccinated against measles, mumps, and rubella because of fears of autism.
The President of the United States restricts American consumers from buying foreign-made products.
The New York Yankees beat the Boston Red Sox.
An entrepreneur risks his life savings to open up a grocery store in an underserved area.
Other factors matter besides safety, such as comfort, cost, and fuel economy.
People do not take the time to understand the safety features of cars.
Consumers are unaware of the risks of different cars.
The statement is false. People do buy the safest car they can find.
$1 per hour.
$7 per hour.
$12 per hour.
$120 per hour.
Greater than $3
Greater than $6
Greater than $9
Less than $3
Increases the division of knowledge because trade makes people more self-sufficient, producing more of what they consume.
Allows for increased specialization and mass-production techniques that lower per unit costs of production.
Lowers productivity, leading to greater domestic employment.
Decreases economies of scale, making production more efficient.
Everyone can benefit from trade, even people who trade with someone from a foreign country.
Comparative advantage is based on specializing in products that have a high opportunity cost of production.
If a person can do everything better than anyone else, there is no reason for that person to trade with others.
Trade makes one party better off but the other party worse off, so there is no net gain to society.
Helping sellers trick buyers into purchasing broken items.
Moving goods like broken laser pointers from people who don't want them to people who do.
Helping people with the same preferences find each other.
Moving toys from children who want them to children who don't.
A world where everyone grows his or her own food and there is no trade
A world with trade and lots of specialization
A world with immense division of knowledge
A world where only some people specialize in food and everyone else produces something else
Decrease; it allows for more small-scale production.
Decrease; it creates economies of scale associated with large-scale production
Increase; it requires more expensive, specialized equipment
Increase; more expensive labor is needed.
Canada has an absolute advantage in producing both iPhones and iPods.
The United States has an absolute advantage in producing both iPhones and iPods.
Canada has an absolute advantage in producing iPhones, and the United States has an absolute advantage in producing iPods.
The United States has an absolute advantage in producing iPhones, and Canada has an absolute advantage in producing iPods.
4/3 of one iPod for Canada, and two iPods for the United States.
Two iPods for Canada, and four iPods for the United States.
3/4 of one iPod for Canada, and one iPod for the United States.
One iPod for Canada, and 3/4 of one iPod for the United States.
Canada has a comparative advantage in producing both iPhones and iPods.
The United States has a comparative advantage in producing both iPhones and iPods.
Canada has a comparative advantage in producing iPhones, and the United States has a comparative advantage in producing iPods.
Canada has a comparative advantage in producing iPods, and the United States has a comparative advantage in producing iPhones.
Both points C and B
The result of trade.
Neither good; corn
Neither good; potatoes