Tony Notes That an Electronics Store Is Offering a Flat

question 56

Multiple Choice

Tony notes that an electronics store is offering a flat $20 off all prices in the store. Tony reasons that if he wants to buy something with a price of $50, it is a good offer, but if he wants to buy something with a price of $500, it is not a good offer. This is an example of:

• A) inconsistent reasoning; saving $20 is saving $20.
• B) the proper application of the cost-benefit principle.
• C) rational choice because in the first case he saves 40% and in the second case he saves 4%.
• D) marginal cost equals marginal benefit thinking.

Grasp basic concepts of isostatic adjustment and its effects on land surfaces.

Analyze the impact of human interventions on shoreline stability and sea level control.

Understand the critical debates surrounding high compensation for board of directors.

Recognize the foundational models of corporate governance and their economic precepts.

---

Definitions:

Tariff Policy

Government regulations related to taxes on imports or exports, designed to protect domestic industries or generate revenue.

Boston Police Force

Established in 1854, it is one of the oldest police departments in the United States, serving the city of Boston, Massachusetts.

Calvin Coolidge

The 30th President of the United States (1923-1929) known for his laconic style, conservative policies, and leadership during the Roaring Twenties.

McNary-Haugen Acts

Proposed federal legislation in the 1920s designed to support agricultural prices by buying surpluses and selling them abroad, though never enacted.