Objective Probability Is

question 42

Multiple Choice

Objective probability is:

• A) the likelihood that a specific result will occur,based on personal judgments.
• B) the likelihood that a specific result will occur,based on hard facts and numbers.
• C) the likelihood of both of these.
• D) the likelihood of neither of these.

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Definitions:

Net Social Gain

The total benefit to society after subtracting the costs associated with an economic activity or policy.

Consumer Surplus

The distinction between what consumers are inclined and financially able to pay for a service or good and the actual payment made.

Welfare Loss

The decrease in social welfare, usually measured as lost economic efficiency, due to factors like taxes, subsidies, or market distortions.

Welfare Loss

The decrease in social welfare, usually measured as the loss of consumer and producer surplus, resulting from inefficient market conditions or government policies.