- 3.1: Explain the significance of: consumer,disposable income, discretion...
- 3.2: Identifying Copy the diagrams below, andin them list four items you...
- 3.3: The BIG Idea From your spending web inquestion 2, list the items yo...
- 3.4: Explaining What kinds of products arepurchased with disposable income?
- 3.5: Rational Choice Choose a product youlike and create two advertiseme...
- 3.6: Choose the letter of the term that best completeseach sentence. a. ...
- 3.7: Choose the letter of the term that best completeseach sentence. a. ...
- 3.8: Choose the letter of the term that best completeseach sentence. a. ...
- 3.9: Choose the letter of the term that best completeseach sentence. a. ...
- 3.10: What is the difference between disposable anddiscretionary income?
- 3.11: What are four factors that affect a personsearning power?
- 3.12: What is a rational consumer choice?
- 3.13: What are three important buying principles?
- 3.14: How should you decide how much time tospend gathering information b...
- 3.15: What is the goal of competitive advertising?What is the goal of inf...
- 3.16: Complete the graphic organizer by listing someconsumer rights and r...
- 3.17: Who protects consumers rights?
- 3.18: What changes did the consumerism movementbring about?
- 3.19: What steps might Jolene take to help her decidewhich product to buy?
- 3.20: What would be the opportunity cost ofchoosing to buy an MP3 player?
- 3.21: Imagine you are in Jolenes situation, andconduct research on the st...
- 3.22: The BIG IDEAS Why do some people buy mostlybrand-name products whil...
- 3.23: Examining Examine the advertisement below,then answer the questions...
- 3.24: Study the cartoon below, and then answer the following questions.a....
Solutions for Chapter 3: Consumption, Income, and Decision Making
Full solutions for Microeconomics | 21st Edition
the value of everything a seller must give up to produce a good
a decrease in investment that results from government borrowing
individuals who would like to work but have given up looking for a job
the offering of different opportunities to similar individuals who differ only by race, ethnic group, sex, age, or other personal characteristics
the quantity of output that minimizes average total cost
a measure of the price level calculated as the ratio of nominal GDP to real GDP times 100
transfers to the poor given in the form of goods and services rather than cash
income elasticity of demand
a measure of how much the quantity demanded of a good responds to a change in consumers’ income, computed as the percentage change in quantity demanded divided by the percentage change in income
the total number of workers, including both the employed and the unemployed
the political philosophy according to which the government should punish crimes and enforce voluntary agreements but not redistribute income
the claim that unemployment eventually returns to its normal, or natural, rate, regardless of the rate of inflation
the purchase and sale of U.S. government bonds by the Fed
a person’s normal income
price elasticity of supply
a measure of how much the quantity supplied of a good responds to a change in the price of that good, computed as the percentage change in quantity supplied divided by the percentage change in price
producer price index
a measure of the cost of a basket of goods and services bought by firms
production possibilities frontier
a graph that shows the combinations of output that the economy can possibly produce given the available factors of production and the available production technology
a dislike of uncertainty
the resources wasted when inflation encourages people to reduce their money holdings
an action taken by an informed party to reveal private information to an uninformed party
a table that shows the relationship between the price of a good and the quantity supplied