A situation wherein each individual has private incentives not to participate in an action that benefits all members of the group is known as the collective action problem

Economies of scale means that the per-unit cost of a product

a. decreases with increased production of the product. b. increases as the cost of inputs such as raw materials increases. c. decreases when the market creates less demand. d. increases because inputs remain about the same. e. changes little.

When the GDP has declined for two or more consecutive quarters, this economic time is known as a(n) __________

a. depression b. recession c. inflation d. misery index