Serena Williams should probably not mow her own lawn because
a. her opportunity cost of mowing her lawn is higher than the cost of paying someone to mow it for her.
b. she has a comparative advantage in mowing her lawn relative to a landscaping service.
c. she has an absolute advantage in mowing her lawn relative to a landscaping service.
d. she might sprain her ankle.
Answer a. her opportunity cost of mowing her lawn is higher than the cost of paying someone to mow it for her.
You might also like to view...
Refer to the above figures. A negative externality exists that has not been corrected. Price and quantity will be
A) P1 and Q1. B) P2 and Q2. C) P3 and Q3. D) P4 and Q4.
Which of the following is an example of customer discrimination?
a. A foreign government prevents women from legally working as teachers. b. White theater goers prefer to watch movies with white stars rather than black stars. c. Customers prefer more experienced lawyers over less experienced ones. d. All of the above are correct.
Adding up the market value of all final and intermediate goods and services in an economy in a given year would result in ________.
A. the calculation of NDP for that year B. an amount less than GDP for that year C. an amount greater than GDP for that year D. the calculation of GDP for that year
Suppose there are two countries that are identical in every way with the following exception. Country A is pursuing a fixed exchange rate regime and country B is pursuing a flexible exchange rate regime. Suppose taxes are increased in both countries rises by the same amount. Given this information, we know that
A) the change in output in A will be greater than in B. B) the change in output in B will be greater than in A. C) the change in output will be the same in both countries. D) the relative output effects are ambiguous.