marginal principle
d.
interdependence principle
ANSWER:
c
63. The marginal principle says that decisions about quantities are best made
a.
incrementally.
b.
arbitrarily.
c.
all at once.
d.
in total.
ANSWER:
a
64. The marginal benefit from an additional worker is
a.
the additional benefit from hiring one more worker.
b.
the total benefit from all workers hired.
c.
always equal to the benefit from the first worker hired.
d.
always equal to the cost of hiring the additional worker.
ANSWER:
a
65. The marginal cost of an additional worker is
a.
always equal to the cost from the first worker hired.
b.
always equal to the benefit of hiring the additional worker.
c.
the total cost of all workers hired.
d.
the additional cost of hiring one more worker.
ANSWER:
d
66. Joshua Murphy is planning on studying late into the night for his economics exam. How many cups of coffee should he buy tonight? Joshua should keep buying coffee throughout the evening until the marginal:
a.
benefit of purchasing one more coffee equals the marginal cost.
b.
benefit of purchasing one more coffee is less than the marginal cost.
c.
benefit of purchasing one more coffee is positive.
d.
cost of purchasing one more coffee is positive.
ANSWER:
a
67. Joshua Murphy is planning on studying late into the night for his economics exam. He is contemplating how many coffees to buy tonight. Joshua should not buy an additional coffee during the evening if the marginal
a.
benefit of purchasing one more coffee exceeds the marginal cost.
b.
benefit of purchasing one more coffee is less than the marginal cost.
c.
benefit of purchasing one more coffee is positive.
d.
cost of purchasing one more coffee is positive.
ANSWER:
b
68. Kathleen Alvarado is binge-watching her favorite show on Netflix. She is attempting to decide how many more episodes to watch. Kathleen should continue watching episodes as long as the marginal:
a.
benefit of watching another episode exceeds the marginal cost.
b.
benefit of watching another episode is less than the marginal cost.
c.
benefit of watching another episode is positive.
d.
cost of watching another episode is positive.
ANSWER:
a
69. Kathleen Alvarado is binge-watching her favorite show on Netflix. She is trying to decide how many more episodes to watch. Kathleen should continue watching episodes unless the marginal
a.
benefit of watching another episode exceeds the marginal cost.
b.
benefit of watching another episode is equal to the marginal cost.
c.
benefit of watching another episode is positive.
d.
cost of watching another episode is positive.
ANSWER:
b
70. According to the marginal principle, keep increasing quantity until the marginal benefit of an additional item is _____ the marginal cost of an additional item.
a.
greater than
b.
equal to
c.
less than
d.
greater than or less than
ANSWER:
b
71. When evaluating how much to produce, increase the quantity produced if the marginal benefit of an additional item is _____ the marginal cost of the additional item.
a.
greater than or equal to
b.
equal to
c.
less than or equal to
d.
less than
ANSWER:
a