Suppose a Customer at a Restaurant Is Deciding Whether or Not

question 197

Multiple Choice

Suppose a customer at a restaurant is deciding whether or not to order dessert. Marginal thinking means that the customer should compare:

• A) the total benefit from the entire meal and dessert with the additional cost of the dessert.
• B) the total benefit from the entire meal and dessert with the total cost of the meal and dessert.
• C) the additional benefit from the dessert with the additional cost of the dessert.
• D) the marginal benefit from the meal with the marginal cost of the dessert.

Comprehend the impact of industrial activity changes on social and economic structures.

Define and assess the poverty line and its implications for individuals and society.

Appreciate the demographic variations in poverty rates.

Analyze employment dynamics within low-income families.

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Definitions:

Shifted Inward

A term used in economics to describe a decrease in the production possibility frontier, indicating reduced capacity or efficiency.

Technological Progress

The advancement in technological capabilities leading to improved products, processes, or services.

Production Possibilities Curve

A visual chart that depicts the highest number of products or services that can be manufactured using a set amount of resources.

Outward Shift

An increase in the potential output of an economy, often represented by an outward movement on a graph.