One Way to Promote a New Business Is to Offer

question 113

Multiple Choice

One way to promote a new business is to offer free items.If Jayleen were to open a restaurant and offer free food,she likely would have a line out the door.How would an economist understand the behavior of those standing in line?

• A) Those waiting in line place a high value on the use of their time.
• B) Those waiting in line believe that the marginal cost of waiting in line exceeds the marginal benefit of waiting in line.
• C) Those waiting in line place a low value on the use of their time.
• D) Those waiting in line believe that the marginal cost of waiting in line is zero.
• E) Those waiting in line believe that the marginal benefit of waiting in line is zero.

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Definitions:

Gustation

The sense of taste, one of the five traditional senses, which perceives and differentiates flavors.

Vestibular

Refers to the system in the body responsible for maintaining balance, posture, and the body's orientation in space.

Throbbing Ache

A persistent and often pulsating pain that may indicate an underlying condition or injury.

Slow Fibers

Muscle fibers characterized by their slow contraction speed and a high capacity for endurance through efficient energy use.