The Question of "How Are Goods and Services Produced?" Most

question 27

Multiple Choice

The question of "How are goods and services produced?" most closely addresses which of the following issues?

• A) Should Ford build SUVs or luxury cars?
• B) Should Ford use expensive industrial robots or inexpensive Mexican autoworkers to produce SUVs?
• C) Should contractors building residential housing or shopping malls?
• D) Is income distributed fairly in the United States?
• E) Why are Christmas trees popular only in December?

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Definitions:

Evolutionary Theory

The theory that explains the diversity of life on Earth through the processes of natural selection and genetic mutation over time.

Social Exchange Theory

The view of social relationships as involving an exchange of goods, the objective of which is to minimize costs and maximize benefits.

Mere Exposure Effect

A mental effect in which individuals grow fond of things simply due to their familiarity.

Social Identity Theory

A psychological theory that examines the influence of group membership on people's self-concept and behavior with others.