Question

1. what is sallys opportunity cost? *

sally received a d in economics because she did not complete enough of the homework assignments. she asked the beautiful mrs. mobley: \how could i complete all those assignments when i have so many other things to do? i have 5 other classes, a job, band, and tennis.\
her opportunity cost is her grade.
her opportunity cost is her time.

1. how is sally faced with scarcity? *

sally received a d in economics because she did not complete enough of the homework assignments. she asked the beautiful mrs. mobley: \how could i complete all those assignments when i have so many other things to do? i have 5 other classes, a job, band, and tennis.\
she is faced with a bad grade.
she is faced with finding time to complete her tasks.

1. peter must decide if he should add one more dog to his dog-walking business. what is this decision an example of? *

using human capital
efficiency
thinking at the margin
scarcity

Explanation:

Analyze Sally's opportunity cost

In Question 8, Sally chooses to spend her limited time on other activities (5 classes, a job, band, tennis) instead of completing her economics homework. The opportunity cost is the value of the next best alternative foregone. By choosing these other activities, she gives up the opportunity to earn a better grade in economics. Therefore, her opportunity cost is her grade.

Analyze Sally's scarcity constraint

In Question 9, scarcity refers to the fundamental economic problem of having seemingly unlimited human wants and needs in a world with limited resources. Here, Sally's limited resource is time. She has many tasks but a finite amount of time to complete them. Thus, she is faced with finding time to complete her tasks.

Analyze Peter's decision-making process

In Question 10, Peter is deciding whether to add "one more" dog to his business. In economics, decisions involving small, incremental adjustments to an existing plan of action (such as adding one more unit) are examples of thinking at the margin.

Answer:

Question 8

• Her opportunity cost is her grade. (Correct answer)
• Her opportunity cost is her time.

Question 9

• She is faced with a bad grade.
• She is faced with finding time to complete her tasks. (Correct answer)

Question 10

• using human capital
• efficiency
• thinking at the margin (Correct answer)
• scarcity