Which of the following is an example of an economic trade-off that a firm has to make?
A) deciding what profit margin it desires for its products
B) whether or not consumers will buy its products
C) whether it is cheaper to produce with more machines or with more workers
D) deciding why consumers want its products
Question 2
According to Douglass North, the Industrial Revolution occurred in England because
A) the British Parliament instituted a command economy structure and implemented a planned economy.
B) the British courts became tied to the king and began to refuse to enforce property rights.
C) the British Parliament took control of the government and could credibly commit to upholding property rights.
D) the British monarchy took control of the government and pledged not to raise taxes arbitrarily.
