Stuck in Cleveland You purchased a roundtrip ticket to a friend's wedding in Cleveland on Saturday for $400, but on Sunday you discover your return flight is canceled due to weather. The airline will not be able to get you back home until late Monday but Greyhound has an overnight bus route that arrives at 6:00am Monday for $60 . What is the opportunity cost of missing work on Monday?
Since the airline will fly you later, it will not cost any more to get home if you are willing to miss work on Monday. But if you want to be at work on Monday, the airline ticket is a sunk cost. At this point, the cost of being at work on time, if a bit haggard, is the $60 bus fare.
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Aggregate demand is the:
A. Total quantity of output demanded at alternative price levels. B. Total quantity of output demanded but only at full employment. C. Quantity of goods demanded by the largest corporations in the country. D. Quantity of new goods and services produced.
Refer to Figure 21.2. Which country has the more unequal distribution of income?
A) Urbania B) Ruratania C) They may have the same absolute income distribution although their relative income distribution is different. D) There is insufficient information to answer the question.