Between points "b" and "c" in the above figure, the opportunity cost of 250 more bushels of corn is
A) 200 yards of cloth.
B) 250 yards of cloth.
C) 600 yards of cloth.
D) 800 yards of cloth.
A
Economics
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The above figure shows Bobby's indifference map for juice and snacks. Also shown are three budget lines resulting from different prices for snacks. As the price of snacks rises, Bobby's utility
A) stays the same. B) increases. C) decreases. D) might change, but there is not enough information to determine.
Economics
The idea that people will not consciously make decisions that make them worse off is known as
A) rationality assumption. B) the decision duality. C) Adam Smith's doctrine. D) incentive assumption.
Economics