When Making a Decision,the Important Costs to Identify and Consider

question 10

Multiple Choice

When making a decision,the important costs to identify and consider are the __________ costs and the __________ costs.

• A) opportunity;marginal
• B) opportunity;variable
• C) sunk;marginal
• D) marginal;average
• E) marginal;fixed

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Definitions:

Market Supply Curve

A graphical representation of the quantity of goods and services that suppliers are willing and able to supply at different price levels over a given time period.

Perfectly Elastic

A situation in economics where the quantity demanded or supplied changes infinitely in response to any change in price.

Drug-Interdiction Policies

Drug-interdiction policies consist of measures and efforts made by governments or organizations to halt the illegal production, distribution, and consumption of drugs.

Price Inelastic

A characteristic of goods for which demand does not significantly change with a change in price.