Of the three big questions, what, how, and for whom, which of the fol-lowing is an example of a how question?
A. Why do doctors and lawyers earn high incomes?
B. Why don't we produce more small cars and fewer gas guzzlers?
C. Why do we use machines rather than migrant workers to pick grapes?
D. Why do college football coaches earn more than professors?
C Answer C describes how grapes are picked.
4 Which of the following is not a key idea in the economic way of thinking?
A. People make rational choices by comparing costs and benefits.
B. Poor people are discriminated against and should be treated more fairly.
C. A rational choice is made at the margin.
D. Choices respond to incentives.
B Answer B is not part of description of the economic way of thinking on page 8.
You might also like to view...
In the foreign exchange market, how will each of the following influences affect the demand for dollars and the demand curve for dollars?
a. an increase in the exchange rate b. an increase in the U.S. interest rate c. a fall in the expected future exchange rate
With careful planning, we can usually get something that we like without having to give up something else that we like
a. True b. False Indicate whether the statement is true or false