Industrial market countries are also referred to as

Industrial market countries are also referred to as
 a. developing countries
  b. low-income economies
  c. middle-income economies
  d. transitional economies
  e. high-income economies

QUESTION 2

A service like CARFAX, which provides a used car buyer with the complete history of a used car, is profitable because of the problem of asymmetric information.
 a. True
  b. False

QUESTION 3

In 2009, high-income economies with only about one eighth of the world's population produced almost three-fourths of the worlds output.
 a. True
  b. False

QUESTION 4

When sellers have better information about product quality than do buyers, lower-quality products tend to become more common in the market.
 a. True
  b. False

QUESTION 5

The World Bank sorts countries into the following three major groups:
 a. high-income economies, middle-income economies, low-spending economies
  b. high-spending economies, middle-spending economies, low-spending economies
  c. super-high-income economies, middle-income economies, low-income economies
  d. high-income economies, middle-income economies, zero-income economies
  e. high-income economies, middle-income economies, low-income economies

QUESTION 6

When a seller knows more about the condition of a used car than the buyer does, the information is said to be asymmetric.
 a. True
  b. False

QUESTION 7

Which of the following is true about GNP?
 a. includes profits earned by a Mercedes factory in Alabama
  b. excludes profits earned by General Electric in India
  c. measures the market value of all goods and services produced by resources supplied the home country's residents and firms, regardless of the location of the resource
  d. stands for Generally Nice Products
  e. used by countries to classify the World Bank

QUESTION 8

One result of asymmetric information in the market for used cars is that buyers benefit at the expense of sellers.
 a. True
  b. False