In 2009,the Federal Government Created a Program Called Cash for Clunkers

question 28

Multiple Choice

In 2009,the federal government created a program called Cash for Clunkers whereby consumers could trade in a less efficient car for a more efficient car and receive a higher value than they would have otherwise.How would an economist understand the decision that consumers faced?

• A) Consumers would compare the marginal benefits to the marginal costs of replacing their car, and this program made sure that marginal benefits would exceed marginal costs.
• B) Consumers would compare the marginal benefits to the marginal costs of replacing their car, and this program made sure that marginal costs would exceed marginal benefits.
• C) The Cash for Clunkers program increased the opportunity cost of replacing a car.
• D) The Cash for Clunkers program served as a negative incentive to replacing a fuel-inefficient car.
• E) The Cash for Clunkers program served as an indirect incentive to replacing a fuel-inefficient car.

Recognize the consequences of leaving ethnic communities for assimilation.

Analyze trends in substance abuse among youths of color and underlying reasons.

Identify the dimensions and stages in racial identity development and attitude changes.

Describe the impact of stress and historic trauma on ethnic communities.

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Definitions:

Projects

Specific tasks or programs undertaken to achieve a goal, often characterized by defined scope, resources, and timeframe.

Average Accounting Return

A measure used to evaluate the profitability of investments, calculated as the average net income of a project divided by its average book value.

Necessary Information

Essential data or facts required to complete a task, make an informed decision, or solve a problem.

Computation

The process of performing mathematical calculations or processing data to arrive at a result or conclusion.