--%>

Consequence of Rational Ignorance

Can someone help me in finding out the right answer from the given options. Being disappointed whenever you finally learn how some desserts are accessible after you have already told the server at a restaurant that you will try the ‘all-you-can-eat’ buffet is the consequence of: (i) Adverse selection. (ii) Moral hazard. (iii) Economic dishonesty. (iv) Blind indifference. (v) Rational ignorance.

   Related Questions in Microeconomics

  • Q : Right-to-Work Laws I have a problem in

    I have a problem in economics on Right-to-Work Laws. Please help me in the following question. The supporters of unions might complain that right to work laws frequently permit non-union workers to: (i) ‘Free-ride’ by enjoying the union-negotiated advantag

  • Q : Spread of wage information The

    The Employers frequently discourage the spread of wage information since they fear that: (i) Lower salaried workers might use the information to negotiate the raises. (ii) Firms honor employee’s privacy only when secrecy is reciprocated. (iii) Unions try to orga

  • Q : Consequence of successful product

    Maggie thinks there are main differences among Crest, Colgate, Aquafresh and Rembrandt toothpastes, and eventually chooses Crest. Therefore her perception is mainly a consequence of: (1) successful product differentiation. (2) monopolistic competition. (3) informative

  • Q : Characteristics of oligopoly Features

    Features of oligopoly: 1) Few sellers in the market 2) Firms sell homogenous or differentiated products. 3) Price Rigidity. 4) Behavior of each firms dependence on the other firms.

  • Q : Problem regarding Bilateral Monopoly

    The Bilateral monopoly models would be most suitably employed to analyze the negotiations among: (1) Le-Bron James, an all-star NBA basketball player and the Cleveland Cavaliers. (2) A newly hired clerk at Wal-Mart and the Wal-Mart Human Resources Dep

  • Q : Externalities or public goods in purely

    A purely competitive economy along with no externalities or public goods tends to be efficient since: (1) firms try to act socially responsible. (2) government planners specify the best allocation. (3) all prices approximate marginal social benefits a

  • Q : Interest Rate by Holding a Bond When

    When you hold a bond if the interest rate rises, you will: (w) have less money when you sell it. (x) receive more interest income. (y) gain by shifting funds to the stock market. (z) eventually spend more and save more.

    Q : Value of the marginal product of labor

    The Profit-maximizing firms which operate in the competitive resource and output markets adjust the labor inputs till the wage rate equivalents the: (i) Average revenue from the output. (ii) Output price equivalents the average variable cost. (iii) Marginal utility of

  • Q : Equality Income distribution in

    According to the equality standard of income distribution: (i) an equal distribution of income maximizes society’s economic welfare. (ii) income must be divided in proportion to need. (iii) income must be commensurate with productivity. (iv) fac

  • Q : Effect of percentage change in price

    Give the answer of following question. When the percentage change in price is greater than the resulting percentage change in quantity demanded: A) a decrease in price will increase total revenue. B) demand may be either elastic or inelastic. C) an increase in price