Recall the Application about the impact inflation has on your potential future salary and the repayment of student loans to answer the following question(s).In analyzing the costs involved for student loans in the face of rising prices, this Application is addressing the economic concept of:
A. the marginal principle.
B. the principle of voluntary exchange.
C. the principle of diminishing returns.
D. the real-nominal principle.
Answer: D
You might also like to view...
In the 1980s, the United States on net ________ foreign nations so that its private firms could absorb through domestic investment ________ goods than what was being left for them by national saving
A) borrowed from, more B) borrowed from, fewer C) lent to, more D) lent to, fewer
When long-run average costs are declining for the entire range of demand, the firm is known as a(n):
a. local monopoly. b. regulated monopoly. c. monopolistically competitive firm. d. natural monopoly. e. oligopoly.
In the supply and demand model, prices
a. are controlled by the government. b. show equilibrium. c. are signals about the value and availability of the good. d. are the cost of production.
Production refers to
A) physically producing material goods only. B) any activity of a firm, whether a corporation, partnership, or sole proprietorship. C) any activity that results in the conversion of resources into goods or services that can be consumed. D) any activity that causes a material conversion of manufactured goods.