It is common to see convenience stores open 24 hours a day even though many times late at night or in the early hours of the morning there are very few customers. What can explain this seemingly odd behavior?
What will be an ideal response?
It must be that the marginal revenue of staying open (the extra revenue from those few customers) is greater than or equal to the marginal cost of staying open.
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Do markets solve all of society’s problems?
A. Yes, markets are efficient and work well under nearly all circumstances. B. Yes, markets solve the problems of production and distribution. C. No, they do not solve problems such as unemployment and inflation. D. No, they hardly solve any problems at all. E. Uncertain, economic theory has no answer to this question.
The per capita GDP of a country is calculated by: a. dividing the total population of the country by its GDP
b. dividing the GDP of the country by its total population. c. multiplying the GDP of the country by its total population. d. adding the GDP of the country to its total population.
Is calling a voter rationally ignorant the same as calling her irrational? Explain
Projections of the trajectory of discretionary relative to mandatory spending made in 2016 had
A. mandatory spending's portion growing. B. the two remaining equal for the next decade. C. both mandatory and discretionary spending remaining relatively constant. D. discretionary spending's portion growing.