Many forms of seafood (lobster, crab legs, etc.) are consumed by dipping the meat in melted garlic butter. If someone suggested that it would therefore be equally appealing to drink melted butter after having eaten garlic and unseasoned seafood, you would know they had fallen victim to which of the following?
A. the fallacy that correlation is the same as causation
B. a logical tautology
C. the fallacy of composition
D. none of the options are correct
Answer: C
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The principle that states that what matters to people is the real value or purchasing power of money is the
A) marginal principle. B) spillover principle. C) real-nominal principle. D) principle of diminishing returns.
The fee schedule capable of contributing the most net revenue to a museum's budget depends on
A) the cost of constructing the museum. B) the cost of heating and lighting the museum. C) the cost of purchasing and maintaining the museum exhibits. D) the demand to view the museum's collection. E) whether the museum is publicly or privately owned.
The above figure shows a firm in monopolistic competition. At the profit maximizing level of output, excess capacity for the firm is equal to
A) 0 units per day. B) 4 units per day. C) 8 units per day. D) 16 units per day.
Technical and organizational change
A) typically reduces prices by increasing the supply of the product, ceteris paribus. B) typically reduces prices by decreasing the demand for the product, ceteris paribus. C) typically increases prices by increasing the demand for the product, ceteris paribus. D) typically increases prices by decreasing the supply for the product, ceteris paribus.