Mitch Has $100 to Spend and Wants to Buy Either

question 188

Multiple Choice

Mitch has $100 to spend and wants to buy either a new amplifier for his guitar or a new mp3 player to listen to music while working out.Both the amplifier and the mp3 player cost $100,so he can only buy one.This illustrates the basic concept that

• A) trade can make everyone better off.
• B) people face trade-offs
• C) rational people think at the margin.
• D) people respond to incentives.

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Definitions:

Trademark

A word, symbol, or phrase that has been legally registered or officially established through usage to signify a company or product.

Domain Name

The address of a website on the internet which is used to access web pages, typically consisting of a string of characters representing the identity of the website.

Digital Sampling

The process of converting analog audio signals into digital data for manipulation, storage, or reproduction.

Copyright Infringement

The unauthorized use of copyrighted work in a way that violates the copyright holder's rights.