Grades are low in your biology class,so your professor offers an optional 10-point extra-credit assignment.Most of the students turn in the assignment.Which economic prinicple does this statement BEST represent?
A)The true cost of something is its opportunity cost.
B)"How much" is a decision at the margin.
C)People usually respond to incentives,exploiting opportunities to make themselves better off.
D)There are gains from trade.

Question

Quizplus · Accepted Answer

This statement represents the economic principle that people usually respond to incentives and will take advantage of opportunities to improve their situation. In this case, the incentive is the opportunity for extra credit, which motivates most students to complete the assignment.

Grades Are Low in Your Biology Class,so Your Professor Offers