Gross domestic product in the economy is measured by the A) ...

[cdr_15]

Gross domestic product in the economy is measured by the
 
  A) total number of services produced in the economy.
  B) dollar value of all final goods and services produced in the economy.
  C) total number of goods and services produced in the economy.
  D) total number of goods produced in the economy.

Question 2

Why do many film processing companies have a policy of printing every picture on a roll of film or a memory card, even if the picture is very fuzzy and customers are allowed to ask for refunds on any pictures they do not like?
 
  What will be an ideal response?

[Hikerman221]

Answer to Question 1

B

Answer to Question 2

The processing companies are taking advantage of the tendency of consumers to ignore nonmonetary costs. They are relying on the fact that passing up a refund once the picture has already been paid for is a nonmonetary opportunity cost rather than a direct monetary cost, and as a rule, customers rarely do ask for refunds.