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Short Answer:
(a) Suppose the Pittsburgh Steelers have the 32nd and 64th picks in the 2022 NFL draft. At pick 32 their decision comes down to two players, Jim Bettis Jr and Franco Harris III, they view as equally talented. Suppose they flip a coin and select Bettis Jr, then at pick 64 observe Harris hasn't been drafted. Do you think the Steelers drafted the superior running back?
(b) Traditionally when a bank issued a mortgage to a customer the bank was repaid over time when the customer made mortgage payments. In recent decades, loans are often securitized, in which case the bank bundles many mortgages together and sells the right to the customers mortgage payments to investors. What concern would such securitization raise?
This document contains various important questions and their appropriate answers in the subject field of Economics.
Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.
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