Economists often weigh the alternatives and determine the best ...

[maychende]

Economists often weigh the alternatives and determine the best use of resources based on marginal utility.
 
  a. True
  b. False

Question 2

The reduction in the price of a particular style of sweater allows the customer to buy more sweaters. At the lower price, this style of sweater becomes a more attractive option than a higherpriced sweater, jacket, or shirt. This scenario is an example of:
 
  a. Purchasing power c. The substitution effect
  b. Spillover effect d. Merchandising

[chinwesucks]

Answer to Question 1

b Economists often weigh the alternatives and determine the best use of resources
based on marginal analysis.

Answer to Question 2

c

[maychende]

YES! Correct, THANKS for helping me on my review

[phuda]

Thanks for the timely response, appreciate it