While Waiting in Line to Buy One Cheeseburger for $1

question 107

Multiple Choice

While waiting in line to buy one cheeseburger for $1.50 and a medium drink for $1.00, Sally notices that she could get a value meal that contains both the cheeseburger and medium drink and also a medium order of fries for $2.75. She thinks to herself, "Is it worth the extra 25 cents to get the medium fries?" To an economist, Sally's decision is an example of

• A) marginal decision making.
• B) basing decisions on total, rather than marginal, value.
• C) an unintended consequence.
• D) the fallacy of composition.

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Definitions:

Insulin Resistance

A condition in which the body's cells become less responsive to insulin, leading to higher blood sugar levels and often associated with type 2 diabetes.

Inflammatory Response

The body's defensive reaction to injury or infection, involving increased blood flow, white blood cell activation, and release of substances to combat pathogens.

Metabolic Syndrome

A cluster of conditions that occur together, increasing the risk of heart disease, stroke, and type 2 diabetes; these conditions include increased blood pressure, high blood sugar, excess body fat around the waist, and abnormal cholesterol levels.

Waist Circumference

A measurement of the distance around the smallest area above the belly button, used as an indicator of health risks associated with excess abdominal fat.