Suppose You Pre-Ordered a Non-Refundable Movie Ticket to X-Men: Days

question 251

Multiple Choice

Suppose you pre-ordered a non-refundable movie ticket to X-Men: Days of Future Past.On the day of the movie you decide that you would rather not go to the movie.According to economists,what is the rational thing to do?

• A) Since the cost of the movie ticket is a sunk cost, it should not influence your decision. Your decision should be based solely on whether you want to see the movie or not.
• B) You should not waste resources. Since you have paid for the ticket you should watch the movie.
• C) Your should go to the movie to minimize your losses.
• D) You should go to the movie to maximize your utility.

---

Definitions:

Sustainable Efficiency

Achieving productivity and performance goals in a manner that is environmentally responsible and can be maintained over the long term.

Strategic Proactivity

An approach whereby an organization anticipates future challenges or opportunities and actively shapes its strategies to address them.

Civil Corporation

A corporation that integrates social and environmental concerns in its business operations and interactions with its stakeholders.

Corporate Governance

The set of guidelines, procedures, and systems used to govern and manage a corporation.