For years, your neighbor insisted she had no desire to own a computer. Recently, however, she purchased one and says she did so because all her relatives have computers and she wants to exchange e-mail with them. Your neighbor's behavior is an example of
A) a switching cost.
B) the impact of negative market feedback.
C) limited-pricing behavior.
D) a network effect.
Answer: D
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Who sets the rules for entitlements when spending is authorized under this category?
A) the agency involved B) the Congress when it appropriates the spending C) each individual state D) the President
Economists refer to the "typical" rate of unemployment as the natural rate of unemployment
a. True b. False Indicate whether the statement is true or false
Which of the following is usually true about government-provided goods?
a. These goods have a zero opportunity cost. b. These goods are not scarce. c. People do not have to pay a fee to enjoy these goods. d. The invisible hand is at work to ensure these goods are provided in the market
When imports exceed exports there is a(n):
A. trade balance. B. trade deficit. C. trade surplus. D. output gap.