What term refers to the idea that society has limited resources and therefore cannot produce all the goods and services people wish to have?
a. inefficiency
b. inequality
c. scarcity
d. market failure
c
You might also like to view...
Which describes the economic meanings of value and price?
A) Value is exchange worth minus marginal benefit, and price is the dollars that must be paid. B) Value is the marginal benefit obtained, and price is the dollars that must be paid. C) Value refers to the gain the producer gets from the good or service, and price refers to the gain the consumer gets from the good or service. D) Value refers to the dollars that must be paid, and price refers to the cost of producing the good. E) They are the same and both mean the dollars that must be paid.
In the above figure, as more ukuleles are produced, the opportunity cost in terms of guitars is
A) decreasing. B) increasing. C) constant. D) zero.
Your professor loves her work, teaching economics. She has been offered other positions in the corporate world that would increase her income by 25 percent, but she has decided to continue working as a professor. Her decision would not change unless
a. the marginal cost of teaching increased. b. the marginal benefit of teaching increased. c. the marginal cost of teaching decreased. d. the marginal benefit of a corporate job decreased.
The cost disease of the service sector in recent years is the result of
A. market failure. B. government intervention. C. collective bargaining by unions. D. uneven productivity growth.