Your Friend Asks You for Advice on How He and His

question 16

Multiple Choice

Your friend asks you for advice on how he and his spouse should rear their children so they will turn out to be responsible, self-reliant, sociable, and good students in school. You tell him, "From what I've read in my textbook, my advice is to be __________ parents."

• A) permissive
• B) uninvolved
• C) authoritative
• D) authoritarian

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Definitions:

Capital Goods

Long-term assets such as machinery, buildings, and equipment purchased by businesses to produce goods and services.

Production Possibility Frontier

A curve depicting all maximum output possibilities for two or more goods given a set of inputs, assuming full and efficient utilization of resources.

Opportunity Cost

The exclusion of favorable outcomes from different choices upon selecting one option.

Increasing Opportunity Cost

A scenario where choosing more of one option increasingly limits the ability to choose other options, demonstrating the trade-offs in resource allocation.