The slope of a budget constraint represents:
A) the price of the good measured along the horizontal axis.
B) the price of the good measured along the vertical axis.
C) the opportunity cost of one good in terms of another.
D) the money income of the consumer.
C
You might also like to view...
Based on Table 4.1, according to the Stolper-Samuelson Theorem, the income distribution effects of free trade in the United States are likely to favor
A) capital. B) labor. C) either capital or labor, depending on U.S. productivity. D) neither capital nor labor. E) Not enough information to tell.
Good X sold for $40 in 1957. The CPI in 1957 was 27.6 and the CPI in 2014 was 244.537. What was the price of good X in 2014 dollars?
A) $514.60 B) $270.92 C) $1,201.60 D) $310.92 E) ?$354.40
Consider a firm with the following cost information: ATC = $15, AVC = $12, and MC = $14. If we know that this firm has decided to produce Q = 20 by following the rule to maximize profits or minimize losses, then the price of the output is:
A. $12. B. $14. C. $15. D. $20.
Use the following circular flow diagram to answer the question below.
If box A represents businesses or firms, B the resource market, and C households, and if flow (3) represents money payments to households, then flow (1) would represent
A. consumption expenditures. B. the flow of goods. C. resources. D. payments to resources.