Dependencies over time reflect the fact that:

• A. all resources are perfectly substitutable over time
• B. markets always reach equilibrium instantly
• C. economic decisions made today can influence future outcomes
• D. consumer preferences remain unchanged over time

Answer: (C)

Verified step by step guidance

1. Understand the concept of dependencies over time in microeconomics, which refers to how current economic decisions can affect future outcomes.
2. Recognize that resources being perfectly substitutable over time is a strong assumption and not generally true in real economic scenarios.
3. Note that markets reaching equilibrium instantly is an idealization and does not capture the dynamic nature of economic adjustments over time.
4. Consider that consumer preferences remaining unchanged over time is often unrealistic, as preferences can evolve due to various factors.
5. Conclude that the key idea behind dependencies over time is that economic decisions made today can influence future outcomes, reflecting intertemporal choices and trade-offs.