People Take Fewer Trips by Airplane When Their Incomes Fall

question 2

Multiple Choice

People take fewer trips by airplane when their incomes fall because of a recession.Trips by airplane must be

• A) a normal good.
• B) an inferior good.
• C) a substitute for other goods.
• D) a complement to other goods.
• E) an inelastic good.

Comprehend the concepts of comparative and absolute advantage in production.

Realize the importance of specialization and how it affects productivity.

Understand the role of incentives and property rights in economic systems.

Recognize the implications of opportunity costs beyond monetary terms.

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Definitions:

Competencies

A combination of skills, knowledge, and behaviors that are critical in performing tasks effectively.

Sustainable Development

Development that meets the needs of the present without compromising the ability of future generations to meet their own needs, emphasizing environmental, economic, and social sustainability.

Global Corporations

Large companies that operate and provide services or products in multiple countries around the world.

Geert Hofstede's Framework

A model that identifies and analyzes five dimensions of cultural differences across countries, which are power distance, individualism vs. collectivism, masculinity vs. femininity, uncertainty avoidance, and long-term orientation.