Asked by
Christopher Kanatselis
on Dec 12, 2024
Verified
When deciding whether to buy a second car, the economic way of thinking indicates that the purchaser should compare
A) the benefits expected from two cars with the cost of both.
B) the additional benefits expected from a second car with the cost of the two cars.
C) the dollar cost of the two cars with the potential income that the cars will generate.
D) the additional benefits of the second car with the additional cost of the second car.
Second Car
An additional vehicle owned by an individual or household, typically used as an alternative to the primary car.
Economic Thinking
An approach to analyzing problems that considers the allocation of scarce resources and the trade-offs involved in decisions.
Additional Benefits
Extra advantages or positive outcomes that accompany a primary benefit or result.
- Absorb the essence of marginal benefits and marginal costs in decision-making scenarios.
Verified Answer
SS
Learning Objectives
- Absorb the essence of marginal benefits and marginal costs in decision-making scenarios.