ECON 102 Final All Quizzes and Homework 1-8

ECON 102 Final All Quizzes and Homwork 1-8 The idea that resources are limited is called ________________ is the branch of economics concerned with the behavior of individual decision makers – both households and firms – and the functioning of individual industries. “If Penn State begins to fine students for littering, our classrooms would be cleaner” is an example of Ceteris paribus means Opportunity cost is A movie production company is considering making a sequel to one of their most popular films of 2009. In their decision, should they consider the cost of the original film or just the sequel? Your opportunity cost of cutting hair at your barbershop is $20 per hour. Electricity costs $6 per hour, and your weekly rent is $250. You normally stay open nine hours per day. Each haircut costs $10. If you stay open a tenth hour, you can give three haircuts. Should you stay open for the 10th hour? Economics Airlines currently spends $20,000 per month in airport fees and $10,000 per flight for fuel, crew, and airplane maintenance. An economist would call the $20,000 per month in airport fees a(n) _____________ because no matter the number of flights offered, this fee must be paid. Each donut that you consume for breakfast costs $.75. The first donut gives you $2.00 worth of pleasure, with each subsequent donut providing $.50 less pleasure than the previous one. What is the marginal cost of the 3rd donut? In a typical year, the U.S. national output increases. Economists call this