In Making Your Decision Whether to Take a Trip During

question 21

Multiple Choice

In making your decision whether to take a trip during Spring Break, you compare all the other activities you could undertake.As a result, you

• A) are making a choice on the margin.
• B) incur a sunk cost.
• C) are not making a rational choice.
• D) do not face an opportunity cost.
• E) must have made a choice in the social interest.

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Definitions:

Capacity Utilization Rate

A measure of how much of a company's or industry's potential output is being used, often expressed as a percentage.

Unemployment Rate

The percentage of the labor force that is jobless and seeking employment, a key indicator of economic health.

Opportunity Cost

The loss incurred from not choosing the immediate best alternative in the course of decision-making.

Economic Resources

Inputs used in the production of goods and services, often categorized into labor, capital, land, and entrepreneurship.