Which of the following is NOT a step involved in optimization using total value?
A) Calculating the total net benefit of each alternative
B) Choosing the alternative with the highest net benefit
C) Converting all costs and benefits into a common value of measurement
D) Calculating the marginal consequences of moving between alternatives
Answer: D) Calculating the marginal consequences of moving between alternatives
You might also like to view...
One characteristic of a Giffen good is that it
A) is a luxury good. B) is an inferior good. C) has an upward-sloping Engel curve. D) All of the above.
Calculate the firm's total profit.
Japanese economists worry that changes in the U.S. inflation rate have too large an effect on the Japanese economy. What type of exchange-rate regime should Japan have if it does not want U.S. inflation changes to impact the Japanese internal economy? Explain, using relative purchasing power parity (PPP) in your explanation.
What will be an ideal response?
The persistence of some "urban legends" and some myths is a reflection of the:
A. Framing effect B. Confirmation bias C. Hindsight bias D. Availability heuristic