Which statement is NOT true according to standard economic theory?
A)Resources are scarce when they can satisfy everyone's wants.
B)The true cost of a choice is what you must give up to enjoy that choice.
C)People typically make choices that will make them better off.
D)Rational people use marginal analysis when making "how much" decisions.

Question

Quizplus · Accepted Answer

According to standard economic theory, resources are considered scarce because they are limited in supply in relation to the unlimited wants of individuals. Therefore, option A is false.

Answer: B, C, D 
 Options B, C, and D are all true according to standard economic theory. The true cost of a choice is what you must give up to enjoy that choice. People typically make choices that will make them better off, and rational people use marginal analysis when making "how much" decisions.

Which Statement Is NOT True According to Standard Economic Theory