John Is an Athlete

question 84

Multiple Choice

John is an athlete.He has $120 to spend and wants to buy either a heart rate monitor or new running shoes.Both the heart rate monitor and running shoes cost $120,so he can only buy one.This illustrates the principle that

• A)trade can make everyone better off.
• B)people face trade-offs.
• C)rational people think at the margin.
• D)people respond to incentives.

---

Definitions:

Formal Statements

Official, explicit expressions or declarations, often written, regarding an organization's policies, objectives, or positions on issues.

Unacceptable Behaviors

Actions or conduct deemed inappropriate, offensive, or outside of agreed norms and values within a specific context.

Organic Organizations

Flexible, adaptable corporate structures with a decentralized approach to management and open communication channels.

Formal Rules

Are the officially sanctioned guidelines and procedures that govern behavior and processes in organizations.