Use the Information Below to Answer the Following Questions

question 35

Multiple Choice

Use the information below to answer the following questions.
Fact 11.1.1
January 31, 2008: Starbucks will open 75 more stores abroad than originally predicted, for a total of 975.
February 25, 2008: For three hours on Tuesday, Starbucks will shut down every single one of its 7,100 stores so that baristas can receive a refresher course.
June 2, 2008: Starbucks replaces baristas with vending machines.
July 18, 2008: Starbucks is closing 616 stores by the end of March.
-Refer to Fact 11.1.1. The decisions made on ________ are short-run decisions because they ________.

• A)January 31 and July 18; change the number of stores but not necessarily the number of employees
• B)February 25 and June 2; change a variable factor of production but not a fixed factor of production
• C)February 25, June 2, and July 18; deal with stores located in the United States
• D)June 2 and July 18; are the more recent decisions
• E)none of the above

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Definitions:

Participants

Individuals or entities that take part in a process or activity.

Factors Of Production

The resources used in the production of goods and services, which include land, labor, capital, and entrepreneurship.

Inputs

The resources such as labor, materials, and capital that are used in the production process to produce goods and services.

Spending By Households

Total expenditures made by individual consumers on goods and services in an economy.