Which of the following statements is true?
A)The money price is usually the same as the time price for most consumers.
B)The money price of a good is always greater than the time price.
C)The money price is always greater for high-wage earners than for low-wage earners.
D)The time price is usually less for low-wage earners than for high-wage earners.
E)The time price of a good is directly proportional to the money price.

Question

Quizplus · Accepted Answer

The time price refers to the amount of time and effort spent to acquire a good or service, while the money price refers to the actual monetary cost. Generally, low-wage earners have a higher time price because they have to work longer hours to earn the same amount of money as high-wage earners. Therefore, the statement that the time price is usually less for low-wage earners than for high-wage earners is true.

Which of the Following Statements Is True