Economist David Friedman Pointed Out That

question 91

Multiple Choice

Economist David Friedman pointed out that

• A)the endowment effect is not limited to humans.
• B)the law of diminishing marginal utility does not hold for money.
• C)the diamond-water paradox would not exist if water was scarce and diamonds were plentiful.
• D)the government should provide the necessities of life for free.

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Definitions:

Limited Liability

A legal structure for businesses where owners' personal financial liability is restricted to the amount they have invested in the company.

Certificate of Limited Partnership

A legal document filed with a state government to establish the existence of a limited partnership.

General Partners

Individuals in a partnership who have joint authority and responsibility for the management of the business, including its debts and liabilities.

Partnership Dissolution

The process of legally ending the existence of a partnership entity, involving the distribution of assets and settling of debts.