Sonia works at a restaurant where tips are pooled and divided equally. Anna works at a different ...

Sonia works at a restaurant where tips are pooled and divided equally. Anna works at a different restaurant where she keeps the tips her customers leave for her. Which of the following is true?
 a. Both work equally hard because their hourly wage from the employer is low, and they can make up for this with tips.
  b. Sonia works harder, because she receives the same amount of tips as other workers.
  c. Anna works harder, because she works at an expensive restaurant.
  d. Anna works harder, because her tips are her private property.
  e. Neither of them has an incentive to work hard because tips are a small part of their earnings.

QUESTION 2

A monopolist enjoys the least market power compared to the other market structures.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 3

Overfishing and extinction of species arise because of:
 a. an abundance of natural resources.
  b. communist countries.
  c. the lack of incentive to take care of these species.
  d. private ownership of these resources.
  e. a high degree of economic freedom in all countries.

QUESTION 4

A monopolist can charge whatever price it wants and can therefore reap phenomenal profits.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 5

GDP per capita is one way to measure an economy's growth. China and India began to progress when they allowed private ownership, around ____. Since then, there has been steady, strong growth in these economies.
 a. 1960
  b. 1970
  c. 1980
  d. 1990
  e. 2000

QUESTION 6

Private property rights are important because:
 a. they create incentives for people to improve their standard of living.
  b. the Constitution says so.
  c. they allow students to choose their major field of study in college.
  d. an economy cannot function without them.
  e. goods cannot be produced without them.

QUESTION 7

It can be said that ____ laid the foundation for the Industrial Revolution.
 a. the discovery of the Americas
  b. private property rights
  c. the invention of the cotton gin
  d. the discovery of gold
  e. the development of a strong judicial system