During the next hour John can choose one of the following three activities: playing basketball, watching television, or reading a book. The opportunity cost of reading a book A. depends on how much the book cost when it was purchased. B. depends on how much John enjoys the book. C. is equal to the marginal benefit from reading the book. D. is the value of playing basketball and the value of watching television. 0000 0 O E. is the value of playing basketball if John prefers that to watching television.
During the next hour John can choose one of the following three activities: playing basketball, watching television, or reading a book. The opportunity cost of reading a book A. depends on how much the book cost when it was purchased. B. depends on how much John enjoys the book. C. is equal to the marginal benefit from reading the book. D. is the value of playing basketball and the value of watching television. 0000 0 O E. is the value of playing basketball if John prefers that to watching television.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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a.choose a correct answer
b.choose a second best answer and explain why
Note:-
Do not provide handwritten solution. Maintain accuracy and quality in your answer.
Take care of plagiarism.
Answer completely.
You will get up vote for sure.
Transcribed Image Text:During the next hour John can choose one of the following three activities: playing basketball, watching television, or reading
a book. The opportunity cost of reading a book
A. depends on how much the book cost when it was purchased.
B. depends on how much John enjoys the book.
C. is equal to the marginal benefit from reading the book.
D. is the value of playing basketball and the value of watching television.
E. is the value of playing basketball if John prefers that to watching television.
Transcribed Image Text:A monopolist under rate of return regulation has an incentive to
A. produce more than the efficient quantity of output.
B. maximize consumer surplus.
C. maximize shareholder profits
D. inflate costs.
E. charge a price equal to marginal cost.
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