A person should consume more of something when its marginal:
A. benefit exceeds its marginal cost.
B. cost exceeds its marginal benefit.
C. cost equals its marginal benefit.
D. benefit is still better.
Ans: A. benefit exceeds its marginal cost.
Economics
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The ratio of non-performing loans to total loans is a measure of a bank's __________ risk
A) credit B) leverage C) interest rate D) liquidity
Economics
With respect to consuming food and shelter, two consumers face the same prices and both claim to be in equilibrium. We therefore know that
A) they both have the same marginal utility for food. B) they both have the same marginal utility for shelter. C) they both have the same MRS of food for shelter. D) All of the above.
Economics