A University Offers a Free Shuttle Service Around Campus

question 179

Multiple Choice

A university offers a free shuttle service around campus. What is the opportunity cost of the shuttle service equal to?

• A) the wages paid to the shuttle drivers, plus the gasoline expenses
• B) the wages paid to the shuttle drivers
• C) the highest valued alternative use of the resources devoted to the shuttle program
• D) zero, since it is free to students who want to ride

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Definitions:

Esteem Needs

The fourth level in Maslow's hierarchy of needs, which includes feelings of accomplishment and recognition from others.

Safety Needs

A concept in Maslow's hierarchy of needs referring to an individual's need for security and protection from physical and emotional harm.

Expectancy Theory

A process theory that states that motivation is determined by the outcomes that people expect to occur as a result of their actions on the job.

High Level

Referring to something that is of great importance, complexity, or positioned at the top of a hierarchy or system.