In a world of scarcity, ____________.
a. consumers or producers will always behave in a manner in which marginal benefits (MB) is less than marginal costs (MC)
b. consumers or producers will always behave in a manner in which marginal benefits (MB) is less than average costs (AC)
c. the decision to obtain the marginal benefit associated with some specific option includes the total cost of forgoing something else
d. the decision to obtain the marginal benefit (MB) of a specific option always includes the marginal cost (MC) of forgoing something else
d. the decision to obtain the marginal benefit (MB) of a specific option always includes the marginal cost (MC) of forgoing something else
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The highest rate of U.S. growth was recorded in which of the following periods?
A) 1948-73 B) 1967-83 C) 1974-95 D) 1996-2008
In an effort to lose weight, Sam posts flyers all over town that offer a reward of $50 to anyone who catches him eating unhealthy food. Sam's flyers are an example of:
A. a commitment device. B. price-optimization theory. C. the law of supply. D. a way to deal with inconsistent costs.
Which formula is used to calculate total revenue?
a. TR = P x Q b. TR = P + Q c. TR = P – Q d. TR = P/Q
If the Federal Reserve wants to control the level of interest rates
A) it must keep the supply of money constant. B) it must let the money supply grow at a constant rate. C) it can do so only if it also stabilizes nominal GDP. D) it will have to give up control of the money supply.