Which of the Following Creates an Incentive to Increase the Amount

question 117

Multiple Choice

Which of the following creates an incentive to increase the amount of an activity?

• A) an increase in the marginal cost of the activity and a decrease in the marginal benefit of the activity
• B) a decrease in the marginal cost of the activity and an increase in the marginal benefit of the activity
• C) constant marginal cost and constant marginal benefit of the activity
• D) None of the above create an incentive to increase the amount of an activity.

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Definitions:

Prescription Medications

Medically authorized drugs that require a healthcare professional's approval before they can be obtained by a patient.

Marketplace

A venue, physical or digital, where buyers and sellers interact to exchange goods, services, or information.

Face-to-Face

Direct interaction between two or more people in the same physical location.

Tangible Objects

Items that have a physical presence and can be perceived by touch.