The Ricardian Model Employs the Concept of Alternate Uses of Economic

question 56

Multiple Choice

The Ricardian model employs the concept of alternate uses of economic
Resources in production.We refer to this technique as:

• A)the production possibilities frontier.
• B)the labor theory of value technique.
• C)the least­cost option.
• D)the labor productivity model.

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Definitions:

Value-based Pricing

A pricing strategy that sets prices primarily based on the perceived or estimated value of a product or service to the customer, rather than on its cost of production or historical prices.

Industrial Instrument

Industrial instrument involves tools and devices designed for industrial applications, including measuring, controlling, and monitoring processes.

Preventive Maintenance

Scheduled maintenance carried out to prevent machinery or equipment from failing, aimed at minimizing unexpected breakdowns and production stoppages.

Useful Life

The estimated duration during which an asset is expected to be usable for its intended purpose.