4) All of the above.
Opportunity costs include explicit costs ( out-of-pocket costs), as well as, implicit costs.
Explicit costs require actual money payment like tuition, room and board. Implicit costs do not require money payment, salary foregone.
5) None are true. When economists refer to people acting in their self-interest, it means that people take decisions which make them better off and does not mean they act selfishly.
6) As long as marginal benefit exceeds marginal cost. Decisions are made at the margin.
7) Both parties benefit from mutually agreed terms of trade.
improves efficiency at the expense of equality Which of the folloying is an out-of-pocket expense of...
Economics is about setting and ordering economic goals which are economic growth,full employment,economic efficiency, price level stability,economic freedom,equitable distribution of income, economic security, balance of trade. How you order the goals is based on your political philosophy-its based on value judgements-its a normative issue. Some goals are complimentary while others conflict. For example if you prioritize economic freedom and growth you are a conservative and likely to vote republican.. You would de-emphasize equity and security. If equity and security are...
Help with these questions please, 1.Which statement most accurately describes what happens when both supply and demand curves shift? Use letters in alphabetical order to select options A When both curves shift, typically we can determine the overall effect on price or on quantity, but not on both. B When both curves shift, typically we can determine the overall effect on price but not on quantity. C When both curves shift, typically we can determine the overall effect on price...
3. Which two sentences work together to express the topic of Paragraph 27 4. What is the main idea of Paragraph 3? a. Citizens would benefit significantly from purchasing goods made in their country. b. It is advantageous for workers to adapt swiftly to dynamic economic conditions. c. Workers should change their circumstances as soon as the economy is hit with problems. d. Protectionist policies serve to help workers in certain industries keep their jobs. 5. What is the main...
QUESTION 1 Economists use the word marginal to mean 1. A decision that is only secondary in importance. 2. The extra benefit or cost of a decision. 3. When firms concentrate on their profit margin. 4. When an economy is producing efficiently. 5 points QUESTION 2 Economists use the word rationality to mean.... 1. When people correctly analyze a situation and come to the best decision possible. 2. Only a hypothetical scenario, people are never really rational. 3. When...
Which of the following statements is (are) correct? (x) The U.S. patent system provides property rights protection for individuals who pursue research and, as a result, makes technical knowledge excludable. (y) Government subsidizes basic research because the social benefit of additional knowledge is perceived to be greater than the cost of subsidies. (z) Government agencies subsidize basic research because the private market devotes too few resources to basic research. Too few resources are devoted to the creation of knowledge because...
Economics is a social science concerned with: The best use of scarce resources to achieve the maximum satisfaction of economic wants. Increasing the level of productive resources so there is a minimum level of income. Increasing the level of productive resources so there is maximum output in society. The best use of scarce resources paid for at the minimum level of cost to consumers and businesses. Answer: A person should consume more of something when its marginal: benefit exceeds...
Question 1 Which of these is NOT a reason that public corruption is detrimental to a nation's economy? Corrupt public officials misallocate scarce public resources Corruption hinders the development of fair markets Corruption undermines institutional trust Corruption may allow economic actors to bypass the impediments of poor-functioning institutions estion 2 The major flaw of mercantilism is that mercantilists view trade as _________________. a positive-sum game in which trade benefits both importers and exporters a zero-sum game in which trade benefits...
50. Which of the following best illustrates the medium of exchange function of money? O A. You keep some money hidden in your shoe. OB. You keep track of the value of your assets in terms of currency. O c. You pay for your double latte using currency. OD. You lend $25 to your friend. 51. Which of the following lists ranks assets from most to least liquid? O A. currency, fine art, stocks B. currency, stocks, fine art c....
9. Which of the following statements is (are) correct? (x) A budget surplus occurs when government receipts are more than spending and a budget deficit occurs when government spending is more than receipts. (y) The most common methods that the U.S. government uses to finance the budget deficit is by borrowing solely from the Federal Reserve or printing currency in the amount of the budget deficit. (z) If interest rates remain constant, then government must spend a larger amount of...
Match the following: 2. Adam Smith 3. Karl Marx 4. John Maynard Keynes Choices: (2 are not used.) a. invented capitalism b. invented socialism c. founder of modern macroeconomics d. founder of modern market economics e. predicted the end of capitalism 5. If a firm has trouble selling its good, it can a. lower price. b. increase demand. c. decrease supply. d. both a) and b) are correct. 6. People often pay too much for goods because they are not...