Wednesday, June 9, 2010

WSJ quiz on economics. UPDATE



Zogby asked nearly 5000 people 8 basic economic questions. They also asked their political identification, given 6 choices: Very conservative, conservative, libertarian, moderate, liberal, and very liberal/progressive. It was in the Wall Street Journal

"Restrictions on housing development make housing less affordable." People were asked if they: 1) strongly agree; 2) somewhat agree; 3) somewhat disagree; 4) strongly disagree; 5) are not sure......

The other questions were:
1) Mandatory licensing of professional services increases the prices of those services.
2) Overall, the standard of living is higher today than it was 30 years ago .
3) Rent control leads to housing shortages .
4) A company with the largest market share is a monopoly .
5) Third World workers working for American companies overseas are being exploited .
6) Free trade leads to unemployment.
7) Minimum wage laws raise unemployment .

How did the six ideological groups do overall?
Here they are, best to worst, with an average number of incorrect responses from 0 to 8:
Very conservative, 1.30;
Libertarian, 1.38;
Conservative, 1.67;
Moderate, 3.67;
Liberal, 4.69;
Progressive/very liberal, 5.26.

UPDATE , The Answers..........

Restrictions on housing development make housing less affordable-(True/Agree)

Mandatory licensing of professional services increases the prices of those services-(True/Agree)

Overall, the standard of living is higher today than it was 30 years ago-(True/Agree)

Rent control leads to housing shortages-(True/Agree)

A company with the largest market share is a monopoly-(False/Disagree)

Third World workers working for American companies overseas are being exploited-(False/Disagree)

Free trade leads to unemployment-(False/Disagree)

Minimum wage laws raise unemployment-(True/Agree)