When Economists Say an Individual Displays Economizing Behavior, They Simply

question 71

Multiple Choice

When economists say an individual displays economizing behavior, they simply mean that she is

• A) making a lot of money.
• B) buying only those products that are cheap and of low quality.
• C) learning how to run a business more effectively.
• D) seeking the lowest cost method to accomplish her objectives.

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Definitions:

Demand Variability

Fluctuations in customer demand over a period, affecting inventory levels, supply chain strategies, and production schedules.

Sourcing Decision

The process of choosing suppliers or sources for goods and services, considering factors like cost, quality, reliability, and relationship.

Outsource

The practice of contracting work out to an external organization rather than performing it in-house.

Information

Data that has been processed in such a way that it can be used to inform decisions, strategies, and actions.