Ginger bought a phone that came with a $10 rebate. Ginger should fill out and mail in the rebate form if:
A. Ginger's surplus from purchasing the phone was less than $10.
B. the opportunity cost of the time and trouble of sending in the rebate form is more than $10.
C. the opportunity cost of the time and trouble of sending in the rebate form is less than $10.
D. she would have bought the phone without the rebate, and so sending in the rebate form involves no opportunity cost.
Answer: C
You might also like to view...
Suppose the nominal interest rate is 5% and the rate of inflation is 5%. The real interest rate is therefore
A) 0%. B) 1%. C) 5%. D) 6%.
Suppose a bank has total assets of $4,000,000,000, of which $1,000,000,000 are cash assets and government securities with a "risk weight" of 0% and $3,000,000,000 are loans with a risk weight of 50%
The bank has total deposits and other liabilities of $3,500,000,000. The bank's risk-based capital ratio is A) 14.3%. B) 25.0%. C) 33.3%. D) 37.5%.
Spending (Aggregate Demand or AD)
What will be an ideal response?
The following simultaneous equations describe the demand and supply for a particular good in a competitive market.
Qi= 
1Pi+ 
1zi1 + ui1
Qi= 2Pi+ 2zi2 + ui2
Which of the following are the endogenous variables in this model?
A. Pi,zi1, and zi2
B. Pi and Qi
C. zi1, and zi2
D. ui1 and ui2