Question 9 / 15:  Explain why you probably receive better service at Walmart than at the Department of Motor Vehicles.
Answer: 

The DMV has a monopoly on its "services" and thus has little

incentive to keep its "customers" satisfied. In contrast, if Walmart

employees consistently treat customers rudely, Walmart will lose

market share and eventually go out of business if the problem is

severe enough.

Sample Partial Credit Answer

Walmart has competition.

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economics theory describes individual behavior as the result of a process of optimization under constraints the objective to be reached being determined by
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Economic Needs: In economics, needs are goods or services that are necessary for maintaining a certain standard of living. This includes things like healthcare, education, and transportation.
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Socialism: The Command Economy

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Attribution:  Dr. Robert P. Murphy, Lessons for the Young Economist. (Mises Institute), http://mises.org/document/6215/Lessons-for-the-Young-Economist (Accessed 04 April, 2014). License: Creative Commons BY
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