Water Is Cheaper Than Diamonds Because

question 152

Multiple Choice

Water is cheaper than diamonds because

• A)water is a less useful resource.
• B)markets fail to reflect value.
• C)water yields lower total utility.
• D)the last drop of water consumed yields lower marginal utility.
• E)people receive negative utility from water.

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Definitions:

Punk Rock DVDs

Digital Video Discs featuring recordings of punk rock music performances or related documentary content.

Transaction Costs

Expenses incurred during the process of buying or selling a good or service, which can include fees, taxes, and other charges.

High Cost

A term describing situations or items that require a significant amount of resources or money to obtain or maintain.

Marginal Products

The additional output resulting from the use of one more unit of a variable input while holding other inputs constant.