Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Chocolate is initially a bad but then becomes a good D) Scotch and chocolate are both bads Total Utility utility utility 100. The fact that children starve in market economies proves that the market can fail A) True B) False Version 1 Page 21 Q 101. George sneaks up behind Mabel and kisses her, making himself better off and Mabel worse off. If he had to, George would have paid $50 for the opportunity to sneak up and kiss Mabel. Mabel hates George but would have let him kiss her for $75. The kiss is A) Not enough information to tell whether the kiss is efficiency increasing or decreasing. B) Efficiency increasing C) Efficiency decreasing if it would have been the other way around and george would have paid $75 and Mabel would have accepted $50, it would have been efficiency increasing extra Opp Cost Problem: # Produced in a Day cars bikes 23 Canada 31 Venezuela OCcanada Cars: 3/2 bikes OCvenezuela cars: 1/3 bikes VS # of hours to produce cars Canada Venezuela bikes 1 2 4 5 OCcanada cars: 1...
View Full Document

This document was uploaded on 02/18/2014 for the course ECON 2010 at Colorado.

Ask a homework question - tutors are online