Define marginal cost and marginal benefit
What will be an ideal response?
Marginal cost is the opportunity cost of an increase in an activity. Marginal benefit is the benefit of an increase in an activity.
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Individuals who have stopped looking for work after an active search because of the lack of transportation or lack of affordable child care, etc. are classified as ________ workers
A) very lazy B) marginally attached C) nonfunctional D) non-contributing
In the short-run, real GDP can be greater than or less than potential GDP because in the short run the
A) money wage rate is fixed. B) quantity of capital is fixed. C) full-employment level of employment is fixed. D) price level is fixed.
Sectoral changes in demand
a. create frictional unemployment, while firms paying wages above equilibrium to attract a better pool of candidates creates structural unemployment. b. create structural unemployment, while firms paying wages above equilibrium to attract a better pool of candidates creates frictional unemployment. c. and firms paying wages above equilibrium to attract a better pool of candidates both create structural unemployment. d. and firms paying wages above equilibrium to attract a better pool of candidates both create frictional unemployment.
According to the principle of comparative advantage, a nation should specialize in economic activities
A) that incur lower opportunity costs. B) that incur higher opportunity costs. C) for which it has an absolute advantage. D) for which it has no absolute advantage.