Chapter 1 Macro – Flashcards

The opportunity cost of volunteering at the shelter is the wages she gave up. B. The opportunity cost of​ Monique's decision is the time she can spend on other activities. C. The opportunity cost of​ Monique's decision is the value of the​ next-best alternative not chosen.

The opportunity cost of investing in a new inventory tracking system is any other projects Agrizone could have invested in.

The opportunity cost of buying the Harley Davidson shares is the price of the shares that could have been spent on other goods and services. B. The opportunity cost of​ Taylor's decision is the value of the​ next-best alternative not chosen.

The opportunity cost of​ Hector's decision is the​ next-best alternative to backpacking across Europe. B. The opportunity cost of​ Hector's decision is the wage he could earn if he decided to get a job. C. The opportunity cost of backpacking across Europe is the time Hector could have spent on other activities.

The opportunity cost of entering a doctoral program is the time Molly could have spent on other activities.

The opportunity cost of​ Sanjay's decision is the price of the paint that he could have spent on other goods and activities. B. The opportunity cost of​ Sanjay's decision is the time he could have spent on other activities. C. The opportunity cost of​ Sanjay's decision is the​ next-best alternative to painting the exterior of his house.

The opportunity cost of​ Tiffany's decision is a better grade on the exam.

To promote the virtues of nonmarket systems.To promote the virtues of nonmarket systems. B. To better understand business accounting.To better understand business accounting. C. To learn how to outsource.

households and firms

the economy as a whole

Changes in the aggregate price level​ (inflation) The unemployment​ rate

Number of employees in the steel​ industry The price of​ gasoline

Economic development.

A devaluation of the U.S. dollar would increase exports from the United​ States Increasing the federal tax on gasoline would cause shipping costs in the United States to​ increase Eliminating the trade embargo with Cuba would increase the number of Cuban cigars available in the United​ States .

Florida should devote all revenues from its state lottery to improving public​ education As a public safety​ measure, the state of Texas should not pass legislation that allows people with concealed handgun permits to carry concealed weapons on college​ campuses

falls victim to ​"post hoc, ergo propter​ hoc.

Legalized casino gambling places an unfair burden on​ nongamblers, who must now tolerate the increased traffic that the activity necessarily produces.