Which of the following is often referred to as the basic postulate of economics?
What will be an ideal response?
Incentives matter—individuals respond in predictable ways to changes in personal costs and benefits.
You might also like to view...
Where Y is GDP, C is consumption, I is investment, G is government purchases, and there is no international trade, national saving equals:
A. Y - C - G. B. Y + C + G. C. Y - C - I. D. C + I + G.
What is the difference between a rent ceiling set below the equilibrium rent and a rent ceiling set above the equilibrium rent?
What will be an ideal response?
The marginal cost curve is a mirror image of the:
A. marginal product curve. B. average variable cost curve. C. average product curve. D. total product curve.
Relating to the Economics in Practice on page 360: Which of the following is an example of an advertisement in which the fact that something is not mentioned indicates that the product is unlikely to be desirable?
A. an advertisement for ice cream that describes the variety of flavors available and the way it tastes but makes no mention of the ice cream's nutritional content B. an advertisement for a 30-year old lawn tractor that mentions the color of its paint and the number of cup holders it has but makes no mention of the condition of its engine C. an advertisement for hot dogs that mentions that it meets certain religious dietary requirements but fails to explain those requirements in a way that would be understood by most people D. an advertisement for a sneaker that mentions the endorsement of one sports star but fails to mention the sports stars that have endorsed competing products