The theories of economics, with surprisingly few exceptions, are extensions of which of the following assumptions about people?
A) People will do whatever earns them the most money.
B) People will do whatever helps them to be "one up" on others.
C) People will do whatever makes them popular.
D) People will do whatever most effectively promotes the common good.
E) People will do whatever yields them the largest net benefit.
E
You might also like to view...
Other things the same, if the money supply rises by 5% and people were expecting it to rise by 2%, then some firms have
a) lower than desired prices, which increases their sales. b) higher than desired prices, which increases their sales. c) higher than desired prices, which depresses their sales. d) lower than desired prices, which depresses their sales.
As the output produced by a firm increases, the average fixed cost:
a. continues to decline. b. initially increases, and then declines. c. quickly drops to zero. d. becomes constant. e. declines and finally becomes negative.