In the Problem Discussed in Your Workbook, the Cost of Capturing

question 25

Multiple Choice

In the problem discussed in your workbook, the cost of capturing a cockatoo and transporting him to the United States is about $40 per bird.Cockatoos are drugged and smuggled in suitcases to the United States.Half of the smuggled cockatoos die in transit.Each smuggled cockatoo has a 10% probability of being discovered, in which case the smuggler is fined.If the fine imposed for each smuggled cockatoo is increased to $1,200, then the equilibrium price of cockatoos in the United States will be

• A)$100.
• B)$160.
• C)$76.
• D)$355.56.
• E)$266.67.

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Definitions:

Job Sample Simulation

A testing method used in employee selection processes involving the performance of tasks or activities that are representative of the actual job.

Structured Interview

An interview method where all candidates are asked the same set of predefined questions.

Reverse Discrimination

Refers to the act of giving preferential treatment to members of previously disadvantaged or minority groups, which is perceived as discriminating against those in the majority.

Latino Employees

Workers who identify as Latino, emphasizing the diverse cultural, national, or ethnic backgrounds they may come from.