Which of the expressions below best describes the aim of economic theory?
A) to predict how people think about money
B) to understand why money motivates some people more than others
C) to predict the choices people will make
D) to learn what we can do to prevent people from having unrealistic wants
Answer: C
You might also like to view...
U.S. antitrust laws view monopolies as undesirable because
A) monopolies restrain trade and promote inefficiencies. B) monopolies create inferior products. C) monopolies produce only capital goods. D) monopolies produce only cheap, low quality goods.
Figure 14.3 represents the market for used refrigerators. Suppose buyers are willing to pay $300 for a plum (high-quality) used refrigerator and $100 for a lemon (low-quality) used refrigerator. If buyers believe that 50% of used refrigerators in the market are lemons (low quality), what fraction of used refrigerators sold will actually be lemons (low quality)?
A. 50/250 B. 50/300 C. 250/300 D. All of the refrigerators sold will be lemons.
If your income stays the same and the price level increases, you will buy fewer goods and services due to the
A. interest rate effect. B. real-balance effect. C. open economy effect. D. aggregate balances effect.
Of the children who grew up in long-term poverty (those living at least 9 years of their childhood in poverty), what percentage of them are from black families?
A. 50. B. 60. C. 70. D. 80.