Economists Believe That Individuals Respond in a Predictable Way to Changes

question 82

Multiple Choice

Economists believe that individuals respond in a predictable way to changes in costs and benefits.The term that best describes this belief is

• A)opportunity cost
• B)demand
• C)supply
• D)scarcity
• E)rational behavior

Understand the concept of least squares in the context of linear regression.

Apply regression analysis to predict outcomes in real-world contexts.

Analyze the relationship between two variables using graphical methods.

Differentiate between dependent and independent variables in a regression context.

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Definitions:

Preemptive Strike

A military or strategic attack intended to neutralize a perceived imminent threat from an opponent before that threat can harm the party making the strike.

Mutual Rescission

An agreement between two parties to terminate their contract, effectively returning them to their pre-contractual positions.

Accord and Satisfaction

Resolution of a debt obligation where the debtor offers payment lower than the total amount due and the creditor agrees, thereby settling the dispute.

Compensatory Damages

Monetary compensation awarded to a plaintiff to cover losses or injuries that result from the defendant's actions.