Fred and Ann both decide to see the same movie when they are given free tickets to the movie. We know that
A) both bear an opportunity cost since they could have done other things instead of see the movie.
B) both bear the same opportunity cost since they are doing the same thing.
C) the cost of going to the movie is greater for the one who had more choices to do other things.
D) neither bear an opportunity cost because the tickets were free.
A) both bear an opportunity cost since they could have done other things instead of see the movie.
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Which of the following statements about barriers to entry is false?
A) They restrict entry into industries in which positive economic profits are being made. B) They are somewhat lessened by the existence of patents. C) They may be due to legal impediments such as licenses. D) They may be due to a single firm controlling access to a natural resource or production process.
The rationale behind patents is that if inventors and artists cannot secure the returns from successful projects, fewer new inventions and works of art will be produced
Indicate whether the statement is true or false
Refer to the below graph. A change from Point A to Point C represents a(n)
a. increase in supply.
b. decrease in supply.
c. increase in quantity supplied.
d. decrease in quantity supplied.
A budget constraint illustrates the
a. prices that a consumer chooses to pay for products he consumes. b. purchases made by consumers. c. consumption bundles that a consumer can afford. d. consumption bundles that give a consumer equal satisfaction.