The lowest price Jacob will accept from Harold for a bushel of corn produced in his farm is $5 . The transaction will go through if:
a. Harold's valuation is less than Jacob's.
b. Harold's valuation is greater than $5.
c. Jacob's opportunity cost is greater than Harold's.
d. Jacob's opportunity cost is equal to Harold's.
B
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Based on the chart for federal government expenditures, what are the three highest expenditure categories?
a. transfer payments, interest payments, and other expenditures
b. transfer payments, defense spending, and grants to state and local governments
c. defense spending , grants to state and local governments, and other expenditures
d. interest payments, grants to state and local governments, and other expenditures
Implicit cost is the opportunity cost of the inputs that do not require monetary payment.
Answer the following statement true (T) or false (F)
Total revenue increases if price ________ and demand is ________.
A. falls; elastic B. rises; unit elastic C. falls; inelastic D. rises; elastic
The marginal benefit of a slice of pizza is the:
A. total amount that a consumer is willing to pay for a whole pizza, divided by the number of slices B. difference between the value of the slice to the consumer and the price of the slice. C. maximum amount that a consumer is willing to pay for the slice. D. price of the slice of pizza