If You Decide to Go to Cancún with Your Friends

question 190

Multiple Choice

If you decide to go to Cancún with your friends during spring break,you cannot go to Paris with your sister in the summer.Which economic principle does this statement BEST represent?

• A)The true cost of something is its opportunity cost.
• B)"How much" is a decision at the margin.
• C)People usually respond to incentives,exploiting opportunities to make themselves better off.
• D)There are gains from trade.

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Definitions:

Mode

The value that appears most frequently in a given set of data, or a specific way or manner in which something occurs or is experienced.

Degrees of Freedom

The number of independent values or quantities which can be assigned to a statistical distribution without violating any constraints.

Mean

A measure of central tendency in statistics, representing the average of a set of numbers, calculated by dividing the sum of the values by the number of values.

Mean

The arithmetic average of a set of numbers, calculated by adding all the numbers together and then dividing by the count of those numbers.