According to the Incentive Principle:
A. people tend to do more of something when its benefits are greater.
B. people will always take the highest-paying job they are offered.
C. benefits are more important than costs in making a decision.
D. it is irrational to perform volunteer services.
Answer: A
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Slaver owners were optimistic about the economic future of slavery on the eve of the Civil War
Indicate whether the statement is true or false
When network externalities are present, the market demand for the good in question becomes:
A.unit elastic. B. less elastic. C. more elastic. D. perfectly inelastic.
Celina worked her way through law school as a typist. She now makes $200 per hour as a lawyer. As the result of a heavy workload, she hires a typist at $25 per hour, but Celina discovers she can type twice as fast as her new employee. Should Celina do her own typing?
a. Yes, because it will cost less to do her own typing than to hire someone to do it. b. No, even though Celina types faster than her new employee, her opportunity cost of doing any given amount of typing will exceed that of her new employee. c. Yes, if she does not, she will waste the time invested developing her typing skills. d. Yes, if she can continue to type twice as fast as her new employee.
A point outside a society's production possibilities curve is one that is
A) unattainable given the resources of the society. B) technologically inefficient. C) undesirable given the implied underemployment of resources. D) desirable since it satisfies the desires of the population.