Which of the Following Would Be a Reason Why Managers

question 41

Multiple Choice

Which of the following would be a reason why managers would NOT provide good service?

• A)They may have low ability.
• B)They may not prefer to work hard.
• C)They may prefer to spend company resources on perquisites.
• D)All of these are reasons.

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Definitions:

Increasing Opportunity Costs

The concept that as the production of one good is increased, the opportunity cost of producing additional units rises.

Production Possibilities Curve

A graph that shows the maximum possible output combinations of two goods or services an economy can achieve when all resources are fully and efficiently utilized.

Bowed Outward

Refers to the shape of a production possibility frontier that shows increasing opportunity costs as production shifts between two goods.

Absolute Advantage

A situation in which a nation, as the result of its previous experience and/or natural endowments, can produce more of a good (with the same amount of resources) than another nation can.