ECO212_Week 1 Checkpoint_A new house rediness

ECO212_Week 1 Checkpoint_A new house rediness - Week 1...

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Week 1 – Checkpoint: A new house readiness Submit a 250- to 300-word response addressing the following points: o Which of the 10 principles do you think plays a major role in your decision? o Provide an example for each about decision-making, interaction, and the workings of the economy. Explain how that influences the marginal benefits and marginal costs associated with the decision to purchase a house. I think that principles 1, 2, 3, and 4 all play a role in the decision to purchase a new home. Principle one states that people face tradeoffs to get what they want. When purchasing a home a person might give up certain amenities in order to save for the down payment for the home or even purchase a less expensive home as a stepping stone to what they really want. Because a home is such a large investment a person could purchase a smaller starter home to keep them from taking on too large of a monthly payment. Principle two states that the cost of an item is what you give up in order to get that item.
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This note was uploaded on 08/21/2011 for the course BUS 101 taught by Professor Doe during the Spring '10 term at University of Phoenix.

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