Question
Which is NOT one of the traditional three central questions in Walrasian general-equilibrium analysis?
The correct answer is
Moral Hazard problem
Existence asks whether an equilibrium can be found; uniqueness asks whether it is the only one; stability asks whether adjustment returns the system to equilibrium. Moral hazard concerns hidden actions and incentives. It can be studied in extended equilibrium models, but is not one of these traditional three questions.
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Important Questions from Economy
- At the time of independence, which sector contributed the largest share to India's national income?
- Which of the following is an example of soft infrastructure?
- Which of the following statements regarding the estimation of India's national and per capita income during the colonial rule is correct?
What was one of the major characteristics of India's economy at the time of independence in 1947?
- The Fiscal Responsibility and Budget Management (FRBM) Act set limits on the fiscal deficit and public debt. What was the fiscal deficit target under the original FRBM Act by 2008-09?
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