Pierre can produce either a combination of 20 bow ties and 30 neckties or a combination of 35 bow ties and 15 neckties. If he now produces 35 bow ties and 15 neckties, what is the opportunity cost of producing an additional 15 neckties?

A good example of perfect price discrimination is

A) selling concert tickets to individuals on the street corner. B) buying concert tickets at the ticket window. C) selling concert tickets at the ticket window. D) buying a concert ticket on the street corner.

Which of the following statements is true?

a. Interest rates charged to well-known corporations are higher than rates charged to individuals because corporations can afford it. b. If people expect higher rates of inflation, the market interest rate will decrease because fewer people will borrow. c. Interest rates in unstable countries are lower than rates in stable countries. d. The risk cost of doing business in a high-crime area is greater and the cost of borrowing is, therefore, greater there. e. The lower the tax rate, the greater the cost of borrowing.