While waiting in line to buy a cheeseburger for $2 and a drink for 75 cents, Aaron notices that the restaurant has a value meal containing a cheeseburger, drink, and French fries for $3 . For Aaron, the marginal cost of purchasing the French fries:
a. would be zero.
b. would be 25 cents.
c. would be 50 cents.
d. cannot be determined because the information about the price of the French fries is not provided.
b
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Food stamps provided by the government to households are an example of
A) vouchers. B) marginal benefits from producing a good or service. C) marginal cost from producing a good or service. D) marginal external cost. E) a government good.
Most economists believe the short-term labor supply curve is ______.
a. elastic compared to demand b. inelastic compared to demand c. highly responsive to taxes d. highly responsive to wages
Assume the total product of two workers is 80 and the total product of three workers is 90. The average product of three workers is ________, and the marginal product of the third worker is ________.
A. 160; 270 B. 10; 13.33 C. 30; 10 D. 10; 45
According to ________, an efficient mix of public goods is produced when local land/housing prices and taxes reflect consumer preferences.
A. the Theory of Public Choice B. Samuelson's theory C. the Tiebout hypothesis D. the Coase theorem