Which Statement About Economics Is CORRECT

question 266

Multiple Choice

Which statement about economics is CORRECT?

• A) Economists do not believe that criminals behave rationally.
• B) Economists have little to say about social issues.
• C) Economists consider how rational people respond to incentives.
• D) Economists assume that people don't respond to incentives.

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Definitions:

Bargaining Impasse

A situation where the parties involved in negotiations are unable to reach an agreement, leading to a deadlock.

Lockout

An action taken by employers to prevent workers from entering the workplace during a labor dispute, essentially reversing a strike.

Management Rights

The legal and contractual rights that allow employers to manage, direct, and control their operations and workforce.

Withholding Labor

A tactic used by workers, such as in a strike, where they refuse to work in order to pressure employers to meet their demands.