1: Preliminary Concepts Flashcards
1
Q
What is an efficient market?
A
one which profit opportunities are eliminated almost instantly
2
Q
What are sunk costs?
A
expenditures that you have already committed to; decisions now will not change them
3
Q
What is opportunity cost
A
the best alternative that is given up when a decision is made
4
Q
ECONOMICS
A
is the study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided.
