How Is an Explicit Cost Defined

question 145

Multiple Choice

How is an explicit cost defined?

• A)As a cost that does not change as output changes.
• B)As a nonmonetary opportunity cost.
• C)As a cost that involves spending money.
• D)As a nonmonetary accounting cost.

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Definitions:

State

An organized political community under one government, recognized as sovereign or independent.

Inequality

A situation where resources, opportunities, and rights are distributed unevenly amongst individuals or groups in a society.

Regulate Inequality

Efforts or policies aimed at managing or reducing the disparities in wealth, resources, or opportunities among members of a society.

Abolish Inequalities

Efforts aimed at eliminating disparities in wealth, status, and power among different groups in society.