Economists usually assume
a. that Americans' preferences are systematically different from Europeans
b. that there are some features common to the preferences of a wide variety of people
c. that everyone has the same preferences
d. that everyone has the same preferences that they (the economists) do
e. that individuals prefer to purchases goods rather than services
B
You might also like to view...
Discuss what is necessary to make rational decisions. Be sure to mention opportunity cost, marginal cost, and marginal benefit
What will be an ideal response?
Which of the following is a surplus item in the U.S. current account?
A) The U.S. government reduces the tariff rates on some imported goods. B) IBM pays dividends to British shareholders. C) Finn vodka becomes more popular in the United States. D) The U.S. government cuts back on military personnel stationed in S. Korea.
In a past fare war, U.S. Air reduced the price of its Charlotte, North Carolina, to New York City round-trip fare from $198 to $138 to match American Airlines. U.S. Air did so reluctantly, saying it would cost the company millions of dollars in revenue
American, on the other hand, believed the fare cut would increase its revenue. What different assumptions about the underlying price elasticity of demand did each airline believe true?
Monopolistically competitive firms use advertising exclusively to inform customers about the real differences between their products and their competitors' products.
Answer the following statement true (T) or false (F)