Three Basic Decisions Must Be Made by All Economies

question 22

Multiple Choice

Three basic decisions must be made by all economies. What are they?

• A) How much will be produced; when will it be produced; who will produce it?
• B) What goods will be produced; how will goods be produced; for whom will goods be produced?
• C) What will be consumed; how will goods be consumed; for whom will goods be consumed?
• D) How will the opportunity cost principle be applied; if the law of comparative advantage will be utilized, how will it be utilized; will the production possibilities constraint apply?

Identify the barriers and facilitators of political participation in the United States.

Analyze the role of economic development in creating social classes and its impact on democracy.

Examine the relationship between public opinion and democracy.

Discuss the impact of technology on political participation.

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Definitions:

Markup

The uplift in the purchase price of items specifically to recover operational overhead and to make a profit.

Split-off Point

The stage in a production process where multiple products are derived from a single process or material, leading to separate further processing.

Joint Production Costs

Costs incurred in the process of producing two or more products simultaneously from the same raw materials or process.

Split-off Point

Refers to the stage in a production process where joint products can be recognized as separate products.