Gwen's decision to buy a new television instead of a bicycle for the same price
a. means that opportunity cost is zero since both cost the same amount.
b. would not have involved trade-off and opportunity cost if Gwen had decided to put the money in a bank CD instead.
c. would not imply a trade-off because of scarcity if Gwen were a multimillionaire.
d. means that the opportunity cost to Gwen is the bicycle that she has given up.
d
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Over the past 50 years, the exports of developing countries have shifted toward ___________
A) agricultural products. B) retail/wholesale. C) financial services. D) mineral products. E) manufactured products.
After having a monopoly in the diamond market for many years, by 2000 the De Beers company faced competition from other companies. To maintain its market share, De Beers
A) lowered the prices of its diamonds to make the market appear less profitable to potential competitors. B) began buying so-called "blood diamonds" in order to keep these diamonds out of the control of other diamond companies. C) bought diamond mines in Canada and Russia that had been its competitors. D) adopted a strategy of differentiating its diamonds. Each of its diamonds is now marked with a microscopic brand.