Author Question: It is not uncommon for people to say something like, If we can put someone on the moon we should be ... (Read 33 times)

mikaylakyoung · **on:** Jun 29, 2018

It is not uncommon for people to say something like, If we can put someone on the moon we should be able to . . . , followed by the person's favorite project. What response can an economist make to this person?

What will be an ideal response?

Question 2

If both buyers and sellers expect the price of a commodity to rise in the future, it is likely that the market clearing price ________ and the equilibrium quantity ________.

A) will fall, cannot be predicted
B) will rise, cannot be predicted
C) cannot be predicted, will fall
D) cannot be predicted, will rise

af · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

Society must make choices, and when it chooses one thing, it must give up something else. Resources were used to get people to the moon, and these resources are not available to do other useful things. The fact that we put someone on the moon means that there are some other things we cannot do.

Answer to Question 2

B