Which of the Following Actions Is Consistent with the Basic

question 205

Multiple Choice

Which of the following actions is consistent with the basic economic postulate (the guidepost) that incentives matter?

• A) Consumers buy fewer potatoes when the price of potatoes increases.
• B) A politician votes against a pay raise for himself because most of his constituents are strongly opposed to it and would vote against him in the next election.
• C) Farmers produce less corn because corn prices have declined.
• D) All of the above.

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Definitions:

Abbreviation

A shortened form of a word or phrase used for convenience.

Inhalation

The act of breathing in, allowing air or other gases to enter the lungs.

Breathed In

The act of inhaling air or other gases into the lungs.

Twice Daily

A term used to indicate that a medication or treatment should be administered two times in a 24-hour period.