When economists say that people act as rational decision makers, that means
a. they gather all relevant information before making their purchases
b. once a pattern of behavior has been established, people tend to become set in their ways
c. people respond in predictable ways to changes in costs and benefits
d. people rarely make errors when they are permitted to make transactions
e. once made, decisions are never reversed
Question 2
Economists believe that people respond in a predictable way to changes in costs and benefits. The term that best describes this phenomenon is
a. opportunity cost
b. scarcity
c. innovation
d. marginal analysis
e. other things equal (or ceteris paribus)
Earthquakes Don’t Kill People—Collapsing Buildings Do
In the summer of 1793, a yellow fever epidemic struck Philadelphia, killing nearly 4,000. Tens of th
A farmer with a pitchfork, wearing a hat identifying him as a Granger, warns of an oncoming “Consoli
Despite the globe’s vast social change, people all over the world continue to make race a ...
Ads from the public service campaign in the late 1960s and early 1970s that encouraged people to get ...
The distribution of the number of hours that a random sample of people spend doing chores per ...