Question

10. The free-rider dilemma refers to a situation in which an individual can consume a good or service without having to pay for it. True/False?

15. The Great Depression

Multiple Choice

• was the most severe recession since the Civil War, even though it lasted only 18 months.

• was a severe and prolonged reduction in output and employment for the United States during the 1930s.

• was a severe and prolonged reduction in output and employment for the United States during the 1980s just prior to the long economic expansion of the 1990s.

• is another name for the economic downturn that followed World War II.

22. Public goods

Multiple Choice

• include most goods and services that the market produces.

• lead to the pay-as-you-go problem.

• by definition, must be produced by the government.

• can be consumed by more than one person at the same time.

24. Which of the following individuals is frictionally unemployed?

Multiple Choice

• Jennifer has not been able to find a job because she lacks computer skills.

• Jose has decided to stop looking for work in order to return to school.

• James quit his teaching job in Virginia in order to relocate to Hawaii.

• Jai Lynn lost her job because her employer had to reduce staff during the recession.

Answer 1

Answer 1

True- The free-rider dilemma refers to a situation in which an individual can consume a good or service without having to pay for it.

Answer 2

Option b ) is correct.

The Great Depression was a severe and prolonged reduction in output and employment for the United States during the 1930s.

Reason: The Great Depression was a severe worldwide economic depression that took place mostly during the 1930s, beginning in the United States. The Great Depression is commonly used as an example of how intensely the global economy can decline.

Answer 3

Option d) is correct.

Public goods can be consumed by more than one person at the same time.

Reason: A public good is a commodity or service that is provided without profit to all members of a society, either by the government or by a private individual or organization.

Answer 4

Option c) is correct.

James quit his teaching job in Virginia in order to relocate to Hawaii.

Reason: Frictional unemployment is the one which exists in any economy due to people being in the process of moving from one job to another.