The problem of adverse selection:
a. occurs when sellers (who know more about the quality of what they are selling than buyers) deliberately select inferior products to sell.
b. is also referred to as the moral hazard problem.
c. can result in an overall increase in the gains from trade.
d. occurs when an employer fires the wrong person.
jared has $12,000 to lend at an annual interest rate of 6%. suppose at the end of one year, he reinvests the original $12,000 plus his interest earnings for a second year at the same rate of interest. how much money will he have at the end of two years?
a. $12,720.00
b. $12,982.00
c. $13,118.50
d. $13,483.20

Identify the three components of a family's culture and provide one example from your own experience

"in my opinion, we ought to stop making our own drums and accept that outside supplier's offer," said wim niewindt, managing director of antilles refining, n.v., of aruba. "at a price of $21 per drum, we would be paying $4.70 less than it costs us to manufacture the drums in our own plant. since we use 70,000 drums a year, that would be an annual cost savings of $329,000." antilles refining's current cost to manufacture one drum is given below (based on 70,000 drums per year):

Richardson hired j.c. flood company, a plumbing contractor, to correct a stoppage in the sewer line of her house. the plumbing company's 'snake' device, used to clear the line leading to the main sewer, became caught in the underground line. to release it, the company excavated a portion of the sewer line in richardson's backyard. in the process, the company discovered numerous leaks in a rusty, defective water pipe that ran parallel with the sewer line. to meet public regulations, the water pipe, of a type no longer approved for such service, had to be replaced either then or later, when the yard would have to be excavated again. the plumbing company proceeded to repair the water pipe. though richardson inspected the company's work daily and did not express any objection to the extra work involved in replacing the water pipe, she refused to pay any part of the total bill after the company completed the entire operation. j.c. flood company then sued richardson for the costs of labor and material it had furnished. (c) for what, if anything, should richardson be liable? explain."