Inferior goods may also be referred to as
A) countercyclical goods.
B) cyclical goods
C) substitutes.
D) anti-luxury goods.
QUESTION 2The federal law prohibiting the sale of organs has resulted in:
a. a shortage of organs for transplant.
b. exorbitant prices for organs available for transplant.
c. more lives saved as a result of transplants.
d. a surplus of organs for transplant.
e. both a. and b.
QUESTION 3The expectation of a random variable X that can take on any of N possible values, Xi with probability PrXi, is denoted as EX and defined as:
a. EX=XiPrXi.
b. EX=XiPrXi.
c. EX=XiPrXi.
d. EX=XiPrXi.
QUESTION 4A luxury good has
A) a negative income elasticity.
B) a cross elasticity of one.
C) a very high income elasticity.
D) a negative price elasticity.
QUESTION 5In the United States, the supply curve for human organs currently is:
a. vertical.
b. horizontal.
c. downward sloping.
d. upward sloping.
QUESTION 6A _____ is a function that takes on a defined value for every point in the sample space.
a. discrete variable
b. random variable
c. dependent variable
d. continuous variable
QUESTION 7Income elasticity has a range of
A) greater than or less than one.
B) greater than or less than zero.
C) greater than or less than negative one.
D) less than zero but greater than one.
QUESTION 8In the United States, the current dollar price of transplantable organs is:
a. zero.
b. indeterminate.
c. determined by the market mechanism.
d. dependent on the supply of organs.
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