How are scarcity, choice, and opportunity cost related?
What will be an ideal response?
Since resources are scarce, we cannot have everything we want. This implies that we must make choices. We can't have everything we want, but we can have some of the things we want, and must choose. But when we choose one thing, we're prevented from choosing one or more other things. The highest-valued alternative good that we don't choose is the opportunity cost of the good we did select.
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Answer the following questions true (T) or false (F)
1. Between 1981 and 2015, deaths from cancer have increased in the United States. 2. Changes in the health of the average person are relatively unimportant as an indicator of changes in the standard of living. 3. Since 1981, deaths from cardiovascular diseases have decreased in the United States.
If the Japanese economy is currently suffering from a recession, we should expect U.S. exports to Japan to
A. decrease. B. increase. C. remain the same. D. increase only if the Japanese Yen depreciates.