Question 1

The factors of production include:

Accepted Answer

A) natural resources. 
B) labor. 
C) entrepreneurship. 
D) all of the above. 
A) natural resources. 
B) labor. 
C) entrepreneurship. 
D) all of the above.

Question 2

Is money a scarce factor of production? Explain.

Accepted Answer

No.Money is not used to produc

Question 3

According to the authors in this chapter,which of the following impedes entrepreneurship from thriving in Sub-Saharan Africa?

Accepted Answer

A) institutions 
B) diseases 
C) government policy 
D) inflation 
A) institutions 
B) diseases 
C) government policy 
D) inflation

Question 4

Adam Smith is:

Accepted Answer

A) considered the founder of economics. 
B) responsible for a branch of economics bearing his name. 
C) responsible for refining the model of supply and demand. 
D) the author of this text. 
A) considered the founder of economics. 
B) responsible for a branch of economics bearing his name. 
C) responsible for refining the model of supply and demand. 
D) the author of this text.

Question 5

According to the book,what are the four elements of economic thinking?

Accepted Answer

To economists,the four element

Question 6

________ is a situation in which resources are limited in quantity and can be used in different ways.

Accepted Answer

A) Choice 
B) Scarcity 
C) Economics 
D) Supply and demand 
A) Choice 
B) Scarcity 
C) Economics 
D) Supply and demand

Question 7

If each extra driver on the road makes every other drivers commute last one minute longer and there are 600 drivers on the road,then one extra driver costs society:

Accepted Answer

A) 1 hour extra in commuting time. 
B) 10 hours extra in commuting time. 
C) 100 hours extra in commuting time. 
D) 10 extra minutes in commuting time. 
A) 1 hour extra in commuting time. 
B) 10 hours extra in commuting time. 
C) 100 hours extra in commuting time. 
D) 10 extra minutes in commuting time.

Question 8

Which of the following is a microeconomic question?

Accepted Answer

A) Is it sensible for the government to subsidize college education? 
B) Why do some countries grow faster than others? 
C) Should Congress and the president take action to reduce the unemployment rate? 
D) All of the above are microeconomic questions. 
A) Is it sensible for the government to subsidize college education? 
B) Why do some countries grow faster than others? 
C) Should Congress and the president take action to reduce the unemployment rate? 
D) All of the above are microeconomic questions.

Question 9

Which of the following is NOT an economic decision in a modern economy?

Accepted Answer

A) Who consumes the products produced? 
B) What will be produced? 
C) Where will the products produced be consumed? 
D) How will we produce it? 
A) Who consumes the products produced? 
B) What will be produced? 
C) Where will the products produced be consumed? 
D) How will we produce it?

Question 10

Macroeconomics is best described as the study of:

Accepted Answer

A) very large issues. 
B) the choices made by individual households,firms,and governments. 
C) the nation's economy as a whole. 
D) the relationship between inflation and wage inequality. 
A) very large issues. 
B) the choices made by individual households,firms,and governments. 
C) the nation's economy as a whole. 
D) the relationship between inflation and wage inequality.

Question 11

Microeconomics is the study of aggregate behavior in the economy.

Accepted Answer

A) True 
 B)False

Question 12

The reason why spammers find it profitable to spam is because:

Accepted Answer

A) it does not cost the spammer anything to send a million emails. 
B) it does not cost the spammer anything to receive a million emails. 
C) it does not benefit the spammer anything to send a million emails. 
D) it does not cost nor benefit the spammer anything to send a million emails. 
A) it does not cost the spammer anything to send a million emails. 
B) it does not cost the spammer anything to receive a million emails. 
C) it does not benefit the spammer anything to send a million emails. 
D) it does not cost nor benefit the spammer anything to send a million emails.

Question 13

A key assumption of most economic analysis is that people act rationally and in their own self-interest.

Accepted Answer

A) True 
 B)False

Question 14

Microeconomics is the branch of economics that helps explain economic fluctuations,why the economy shrinks and expands and why some of the economy's resources are idle.

Accepted Answer

A) True 
 B)False

Question 15

Economists will always reach the same conclusion in their positive analyses.

Accepted Answer

A) True 
 B)False

Question 16

In making stock buy or sell recommendations,most stock analysts use microeconomics:

Accepted Answer

A) to evaluate the merits of public policies. 
B) to understand markets and predict changes. 
C) to understand marginal changes in the macroeconomy. 
D) to make managerial and personal decisions. 
A) to evaluate the merits of public policies. 
B) to understand markets and predict changes. 
C) to understand marginal changes in the macroeconomy. 
D) to make managerial and personal decisions.

Question 17

Scarcity is a situation in which resources are limited in quantity and can be used in different ways.

Accepted Answer

A) True 
 B)False

Question 18

According to the text,economists identify that the reason why traffic congestions exists and waste large amounts of resources in the economy is because:

Accepted Answer

A) the drivers are not mindful of the additional time they impose on other drivers if they enter a highway. 
B) the cars are too big. 
C) the drivers are mindful of the additional time they impose on other drivers if they enter a highway. 
D) the roads are too small. 
A) the drivers are not mindful of the additional time they impose on other drivers if they enter a highway. 
B) the cars are too big. 
C) the drivers are mindful of the additional time they impose on other drivers if they enter a highway. 
D) the roads are too small.

Question 19

In the Application,which of the following decreased the incentive to buy hybrid vehicles?

Accepted Answer

A) Purchases of hybrid vehicles qualified for a $3400 subsidy from the federal government. 
B) Oil prices increased. 
C) Hybrid vehicles were more expensive than regular vehicles. 
D) Hybrid vehicles had lower emissions than the non-hybrid vehicles. 
A) Purchases of hybrid vehicles qualified for a $3400 subsidy from the federal government. 
B) Oil prices increased. 
C) Hybrid vehicles were more expensive than regular vehicles. 
D) Hybrid vehicles had lower emissions than the non-hybrid vehicles.

Question 20

Which of the following is a topic NOT directly under macroeconomics?

Accepted Answer

A) inflation 
B) recessions 
C) why the price of crude oil is high 
D) All of the above are topics in macroeconomics. 
A) inflation 
B) recessions 
C) why the price of crude oil is high 
D) All of the above are topics in macroeconomics.

The factors of production include:

Is money a scarce factor of production? Explain.

According to the authors in this chapter,which of the following impedes entrepreneurship from thriving in Sub-Saharan Africa?

Adam Smith is:

According to the book,what are the four elements of economic thinking?

________ is a situation in which resources are limited in quantity and can be used in different ways.

If each extra driver on the road makes every other drivers commute last one minute longer and there are 600 drivers on the road,then one extra driver costs society:

Which of the following is a microeconomic question?

Which of the following is NOT an economic decision in a modern economy?

Macroeconomics is best described as the study of:

Microeconomics is the study of aggregate behavior in the economy.

The reason why spammers find it profitable to spam is because:

A key assumption of most economic analysis is that people act rationally and in their own self-interest.

Microeconomics is the branch of economics that helps explain economic fluctuations,why the economy shrinks and expands and why some of the economy's resources are idle.

Economists will always reach the same conclusion in their positive analyses.

In making stock buy or sell recommendations,most stock analysts use microeconomics:

Scarcity is a situation in which resources are limited in quantity and can be used in different ways.

According to the text,economists identify that the reason why traffic congestions exists and waste large amounts of resources in the economy is because:

In the Application,which of the following decreased the incentive to buy hybrid vehicles?

Which of the following is a topic NOT directly under macroeconomics?

The Key Principles of Economics

Exchange and Markets

Demand, supply, and Market Equilibrium

Elasticity: a Measure of Responsiveness

Market Efficiency and Government Intervention

Consumer Choice: Utility Theory and Insights From Neuroscience

Production Technology and Cost

Perfect Competition

Monopoly and Price Discrimination

Market Entry and Monopolistic Competition

Oligopoly and Strategic Behavior

Controlling Market Power: Antitrust and Regulation

Imperfect Information: Adverse Selection and Moral Hazard

Public Goods and Public Choice

External Costs and Environmental Policy

The Labor Market and the Distribution of Income

International Trade and Public Policy

Filters

Exam 1: Introduction: What Is Economics

The factors of production include:

Is money a scarce factor of production? Explain.

According to the authors in this chapter,which of the following impedes entrepreneurship from thriving in Sub-Saharan Africa?

Adam Smith is:

According to the book,what are the four elements of economic thinking?

________ is a situation in which resources are limited in quantity and can be used in different ways.

If each extra driver on the road makes every other drivers commute last one minute longer and there are 600 drivers on the road,then one extra driver costs society:

Which of the following is a microeconomic question?

Which of the following is NOT an economic decision in a modern economy?

Macroeconomics is best described as the study of:

Microeconomics is the study of aggregate behavior in the economy.

The reason why spammers find it profitable to spam is because:

A key assumption of most economic analysis is that people act rationally and in their own self-interest.

Microeconomics is the branch of economics that helps explain economic fluctuations,why the economy shrinks and expands and why some of the economy's resources are idle.

Economists will always reach the same conclusion in their positive analyses.

In making stock buy or sell recommendations,most stock analysts use microeconomics:

Scarcity is a situation in which resources are limited in quantity and can be used in different ways.

According to the text,economists identify that the reason why traffic congestions exists and waste large amounts of resources in the economy is because:

In the Application,which of the following decreased the incentive to buy hybrid vehicles?

Which of the following is a topic NOT directly under macroeconomics?

The Key Principles of Economics

Exchange and Markets

Demand, supply, and Market Equilibrium

Elasticity: a Measure of Responsiveness

Market Efficiency and Government Intervention

Consumer Choice: Utility Theory and Insights From Neuroscience

Production Technology and Cost

Perfect Competition

Monopoly and Price Discrimination

Market Entry and Monopolistic Competition

Oligopoly and Strategic Behavior

Controlling Market Power: Antitrust and Regulation

Imperfect Information: Adverse Selection and Moral Hazard

Public Goods and Public Choice

External Costs and Environmental Policy

The Labor Market and the Distribution of Income

International Trade and Public Policy

Filters