Exam 1: Getting Started

The marginal benefit of an activity is I.the benefit from a one-unit increase in the activity. II.the benefit of a small,unimportant activity. III.measured by what the person is willing to give up to get one additional unit of the activity.

An incentive is

When two variables in a graph are related to a third,changing the third causes

A graph of the relationship between two variables is a line that slopes down to the right.These two variables are ________ related.

A graph that shows the value of an economic variable for different groups in a population at a given time is called a

-In the above figure,while drawing the line showing the relationship between the price of a pound of peanuts and the quantity sold,the

Which of the following is true? i.A rational choice is always made in the pursuit of social interest. ii.Economics is a social science. iii.Economists try to understand how the economic world works by testing positive statements.

The characteristic from which all economic problems arise is

When Fresh Express Salads decides to mechanically pick all of its lettuce,it directly answers the ________ question.

A curve with a positive but decreasing slope represents a relationship where,every time the variable measured along the horizontal axis increases by one unit,the variable measured along the vertical axis

By donating $1,000 to the Salvation Army,Caroline reduces her taxable income.To Caroline,the reduction in her taxable income is

-The figure above shows the relationship between study time and the number of problems worked.The curve becomes less steep because as you study more,

When the Dallas Cowboys score more than 30 points in a game,they win the game.This is an example of

A normative statement I.can be tested as to whether it is true or false. II.is considered negative. III.depends on a person's values.

The primary focus of microeconomics is

Choices that are best for the individuals that make them are choices in pursuit of

When unskilled teens earn less than college graduates,society answers the ________ question.

What does the slope of a straight line equal? How is the slope of a curved line calculated?

If a curve rises and then falls,it has a

Choices that are best for the society as a whole are choices in pursuit of