Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, as the economy moves from Point A to Point E, the opportunity cost of motorcycles, measured in terms of hybrid cars
A. remains constant.
B. decreases.
C. initially increases, then decreases.
D. increases.
Answer: D
You might also like to view...
The table gives data for a nation. What is the amount of the country's GDP?
A) $6,000 billion B) $6,200 billion C) $6,900 billion D) $5,800 billion E) $6,600 billion
Which of the following would be considered a marginally attached worker?
i. Lou, who worked 15 hours unpaid at her mother's store last month ii. Sylvia, who is not working and hasn't looked for work in 3 months iii. Meredith, who is no longer working after taking early retirement from her employer. A) ii only B) i, ii and iii C) i and ii D) i and iii E) i only
If other things constant, as more bananas are consumed, marginal utility eventually
a. decreases at the same rate for all people b. decreases at the same rate for all goods for a given person c. increases at the same rate for all people d. decreases at different rates for different people and for other goods e. decreases at different rates for different people but at the same rate as other goods for an individual
Which of the following exemplifies an opportunistic behavior by a franchisor arising out of incompleteness or ambiguity in a contract?
a. Providing inferior service in an attempt to cut operating costs. b. Terminating a well-operated franchisee and converting the establishment into a profitable company-owned outlet. c. Fixing exorbitant prices for products having relatively elastic demand. d. Terminating a franchisee who had been using the company brand name to endorse products that the agreement says it cannot.