The Statement, "If a Deal Is Too Good to Be

question 80

Multiple Choice

The statement, "If a deal is too good to be true, then it probably is not true," is most closely related to which core economic principle?

• A)The Low-Hanging Fruit Principle
• B)The No-Cash-on-the-Table Principle
• C)The Cost-Benefit Principle
• D)The Scarcity Principle

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Definitions:

Positive Revenues

Positive revenues refer to the income generated from sales, services, or other business activities before any expenses are subtracted, indicating a gross inflow of economic benefits.

Resources Move

Resources Move describes the reallocation or mobility of resources (labor, capital, etc.) from one sector, location, or use to another.

Alternative Production Techniques

Different methods or processes used in the production of goods and services, often evaluated for their efficiency, cost-effectiveness, or environmental impact.

Economic Loss

Refers to the reduction in total revenue that is greater than the total cost of a business, leading to a negative profit scenario.