C718 V3 Study Guide Questions.docx C718 - CM created Study Guide Questions This set of s

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C718 V3 Study Guide Questions.docx C718 - CM created Study Guide Questions This set of study questions will help guide and reinforce your understanding of several important concepts after reading th... e Acrobatiq e-text. These study questions are designed to supplement, not replace, your e-text reading. Therefore, you must read each module in the e-text as indicated in the course of study as you engage in these study questions. The answers to all the questions can be found in the e-text. It will be most effective if, after reading each module, you assess your understanding by engaging in the study questions one module at a time. You are strongly encouraged to revisit the e-text if you find yourself unable to answer a given question. The titles of the modules corresponding to each set of questions are indicated throughout the document below. Competency: Market Evaluation Module 5 - Market Efficiency and Government Intervention 1.What are marginal benefit and marginal cost? How do they relate to demand and supply? a.Marginal Decision Rule – compare marginal benefit and marginal cost b.A consumers willingness to pay provides a measure of the benefit of the product c.A consumers willingness to pay for a second product measures Marginal Benefit of the second product d.The marginal benefit of an activity refers to the additional benefit gained when engaging in one additional unit of the activity. e.QD is equal to Marginal benefit f.The total benefit on the demand curve is everything under the demand curve b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. . . . . . . . . . . . . . . . . . .. . . . . [Show More]

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