An asset becomes more liquid and hence more money-like
A) as its value relative to other goods approaches zero.
B) as its value relative to other goods becomes more uncertain and unpredictable.
C) as the cost of exchanging it for other goods approaches zero.
D) when it is demanded for its own intrinsic value.
C
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To calculate the ________ of an alternative, an individual needs to estimate ________ of the alternative
A) marginal benefit; total cost B) marginal cost; total benefit C) opportunity cost; total benefit D) net benefit; both cost and benefit
The short-run market supply curve for a perfectly competitive market is obtained by summing the part of each firm's
A) AVC curve that lies above its MC curve. B) MC curve that lies above its AVC curve. C) AVC curve that lies below the MC curve. D) MC curve that lies below the AVC curve.
Long lines
a. and discrimination according to seller bias are both inefficient rationing mechanisms because they both waste buyers' time. b. and discrimination according to seller bias are both inefficient rationing mechanisms because the good does not necessarily go to the buyer who values it most highly. c. are an inefficient rationing mechanism because they waste buyers' time, and discrimination according to seller bias is an inefficient rationing mechanism because the good does not necessarily go to the buyer who values it most highly. d. are an inefficient rationing mechanism because the good does not necessarily go to the buyer who values it most highly, and discrimination according to seller bias is an inefficient rationing mechanism because it wastes buyers' time.
Which of the following represents the basic principle of public choice theory?
A. Politicians act consistently in the public's interest. B. Politicians follow their own self-interest and seek to maximize their reelection chances, rather than promote the best interests of society. C. Politicians act in the public interest once they are elected, but follow their own self-interest and seek to maximize their reelection chances during a political campaign. D. Politicians have an incentive to be cost-conscious and creative because they face the same type of profit motive as producers.