Economics promotes which of the following as the way to make the best decision?
A) Continue an enjoyable activity as long as you do not have to pay for it.
B) Continue an enjoyable activity until it is no longer enjoyable.
C) Continue an enjoyable activity until you cannot afford to pursue it.
D) Continue an enjoyable activity up to the point where its marginal benefit equals its marginal cost.
Answer: D
You might also like to view...
If a government using fixed exchange rates chooses to increase the rate, the currency:
A. is revalued. B. is devalued. C. is depreciated. D. appreciates.
Which of the following is not a question that scarcity forces all societies to answer?
a. Which goods and services are to be produced? b. How are goods and services to be produced? c. Who will get the goods and services produced? d. How can scarcity be eliminated?
Marginal revenue measures the change in
a. output generated by a change in price b. price generated by a change in output c. output generated by hiring one more factor of production d. total revenue generated by a change in price e. total revenue generated by a change in output
If the price of one input changes, the firm will change its use of that input only
a. True b. False Indicate whether the statement is true or false