The difference between the present discount value of a revenue stream and the present discount value of a cost stream is called the:

The indifference curves in the figure above (I1, I2, and I3 ) reflect Peter's consumption preferences. Which of the following combinations of goods does Peter prefer the most?

A) 48 slices of pizza and 12 chocolate bars B) 24 slices of pizza and 24 chocolate bars C) 40 slices of pizza and 20 chocolate bars D) 32 slices of pizza and 8 chocolate bars

Why is it necessary for all economic systems to not only provide people with goods and services, but also restrict them from getting as much of these goods and services as they wish?

A) Failure to do this could lead to drastic shortages of goods and services. B) Failure to do this could reduce the efficiency of the system by producing some goods and services that are not as highly valued as others. C) Failure to do this could reduce efficiency and lead to an inequitable allocation of output. D) Failure to do this could lead to an inequitable allocation of goods and services produced.