The Need to Study Economics Would Cease to Exist If

question 18

Multiple Choice

The need to study economics would cease to exist if

• A) the government stopped controlling people's actions.
• B) people were free to make decisions on their own.
• C) people put forth the effort required to attain the goods and services they wanted.
• D) people earned more than they spent.
• E) there were enough resources to produce all the goods and services people would like to obtain.

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Definitions:

Property Taxes

Taxes assessed on real estate by local government, based on the assessed value of the property.

Mixed Cost

An expense that contains both variable and fixed cost components, changing in total with the level of activity but also containing a constant element.

Straight-Line Depreciation

A method used in accounting to allocate the cost of a tangible asset over its useful life evenly.

Electricity Costs

The financial charges for the consumption of electrical energy by a business, forming part of its operating expenses.