The Incentive Principle is an example of（）
A. over-estimating the benefits of an action
B. an economic decision-making pitfall
C. a normative economic principle
D. a positive economic principle
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Due to the fact that Curly used his frequent flyer miles to fly to visit Moe, Curly told Moe that it didn’t cost him anything to visit. Is Curly correct（）
A. No, because Curly had to pay for earlier trips in order to earn the frequent flyer miles
B. No, because Curly could have used his frequent flyer miles to go somewhere else instead
C. Yes, because Curly could stay at Moe’s house for free
D. Yes, because Curly’s frequent flyer miles made the trip free
The last time gas prices increased drastically, sales of large Sport Utility Vehicles （SUVs） fell. Why（）
A. Higher gas prices increased the benefit of driving an SUV
B. Higher gas prices increased the cost of driving a SUV
C. Higher gas prices lowered the benefit of driving an SUV
D. Higher gas prices lowered the cost of driving a SUV
During times of high unemployment, colleges often observe an increase in enrollment even if tuition remains unchanged. Why（）
A. The benefit of attending college is lower because college graduates are less likely to find jobs
B. The opportunity cost of attending college is higher when unemployment is high
C. The opportunity cost of attending college is lower when unemployment is high
D. Students go to college even when the net benefit is negative
Macroeconomics differs from microeconomics in that macroeconomics focuses on（）
A. prices in specific markets
B. production in specific markets
C. individual choices and group behavior in individual markets
D. the performance of national economies and ways to improve that performance
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