Kaplan University MT445 Managerial Economics

in public locations monitored by the government.
in any arena that brings together buyers and sellers.
in any physical location people where people can physically get together for selling goods, such as shopping malls.
in any location where transactions can be monitored by consumer groups and taxed by the government.

offer financial incentives to increase the birthrate
reduce taxes paid by current workers so that they an save for their future
reduce retiree benefit payments
raise the retirement age

until its marginal costs start declining.
only when its marginal benefits are positive.
until its marginal benefits equal marginal costs.
only if its marginal costs are greater than its marginal benefits.

The Pleasantville movie theatre is open only in the evenings. The theatre's manager is debating whether to add daily matinee shows.
The Zhous have demolished their old home and are debating whether to build a ranch-style house or a Craftsman home.
You're planning to hold a graduation party and must decide between having your party catered or having a pot-luck.
Chelsea has withdrawn from the swim team to take up a full-time job.

$200
$500
$1,000
$1,000 plus the value of her time

if consumers decide to buy more of a product its price will increase.
a market economy is more efficient in producing goods and services than is a centrally planned economy.
economic growth can only be achieved by free market economies.
if all resources are fully and efficiently utilized, more of one good can be produced only by producing less of another good.

technically efficient.
unattainable with current resources.
inefficient in that not all resources are being used.
is the equilibrium output combination.

engage in mutually beneficial trade with other nations.
increase the variety of products that it can consume with no increase in resources.
consume a combination of goods that lie outside its own production possibilities frontier.
produce a combination of goods that lie outside its own production possibilities frontier.

5/8 bolts of cotton
3/8 bolts of cotton
1 3/5 bolts of cotton
240 bolts of cotton

cannot have a comparative advantage in producing any product.
can still have a comparative advantage in producing some product.
perform all tasks at a higher opportunity cost than others.
must have an absolute advantage in at least ones task.