Identify the household measure.1 L

MAC 1106 TEST # 1 ONLINE SP.pdf

If wages for accountants rose, then accountants’ leisure time would have a lower opportunity cost.

The cost of an action is measured in terms of foregone opportunities.

An investment business project for sure requires:(Multiple reponses)

Suppose the state of Iowa passes a law that increases the price of cars by $500.  As a result, residents in Iowa start purchasing their cars in surrounding states. Which of the following principles does this best illustrate?

Production possibilities frontiers cannot be used to illustrate tradeoffs.

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A marginal change is a small incremental adjustment to an existing plan of action.

The fact that people are willing to pay much more for a diamond, which is not needed for survival, than they are willing to pay for a cup of water, which is needed for survival, is an example of marginal decision making.