Question 1

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 2

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 3

Microeconomics is the study of aggregate behavior in the economy.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is a topic of microeconomics?

Accepted Answer

A)  money supply 
B)  exchange rates 
C)  why the price of gold is rising 
D)  All of the above are topics in microeconomics. 
A)  money supply 
B)  exchange rates 
C)  why the price of gold is rising 
D)  All of the above are topics in microeconomics.

Question 5

The slope of a straight line is calculated as

Accepted Answer

A)  the variable on the vertical axis divided by the variable on the horizontal axis. 
B)  the variable on the horizontal axis divided by the variable on the vertical axis. 
C)  the run over the rise. 
D)  the rise over the run. 
A)  the variable on the vertical axis divided by the variable on the horizontal axis. 
B)  the variable on the horizontal axis divided by the variable on the vertical axis. 
C)  the run over the rise. 
D)  the rise over the run.

Question 6

Which of the following is NOT a microeconomic question?

Accepted Answer

A)  How does a particular health care reform program affect physicians' incomes? 
B)  What would happen to gasoline consumption if the gasoline tax were increased? 
C)  How should Judy decide how many hours to study for her economics exam? 
D)  All of the above are microeconomic questions. 
A)  How does a particular health care reform program affect physicians' incomes? 
B)  What would happen to gasoline consumption if the gasoline tax were increased? 
C)  How should Judy decide how many hours to study for her economics exam? 
D)  All of the above are microeconomic questions.

Question 7

Microeconomics is the study of the choices made by ________ and how these choices affect the markets.

Accepted Answer

A)  households only 
B)  the government only 
C)  firms only 
D)  households, firms, and the government. 
A)  households only 
B)  the government only 
C)  firms only 
D)  households, firms, and the government.

Question 8

Why are fast growing economies predicted to grow even faster in the future?

Accepted Answer

In the fastest-growing countries,citizen

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

Question 10

Which of the following is NOT a question answered with normative economic reasoning?

Accepted Answer

A)  If a college had more money, should it offer free parking for students? 
B)  As a result of a recent recession, should a college offer more financial aid assistance? 
C)  If a college increased tuition, what is the estimated decline in enrollments? 
D)  Given the additional funding that a college received, should it cut tuition to stimulate enrollments? 
A)  If a college had more money, should it offer free parking for students? 
B)  As a result of a recent recession, should a college offer more financial aid assistance? 
C)  If a college increased tuition, what is the estimated decline in enrollments? 
D)  Given the additional funding that a college received, should it cut tuition to stimulate enrollments?

Question 11

In the final two decades of the 20th century,sub-Saharan African economies grew rapidly.

Accepted Answer

A) True 
 B)False

Question 12

One efficient solution to congestion is to

Accepted Answer

A)  impose a congestion tax on drivers who use the road during the rush hour. 
B)  prevent cars from using the roads during the rush hour. 
C)  give subsidies to drivers who use the road during the rush hour. 
D)  lower gasoline taxes. 
A)  impose a congestion tax on drivers who use the road during the rush hour. 
B)  prevent cars from using the roads during the rush hour. 
C)  give subsidies to drivers who use the road during the rush hour. 
D)  lower gasoline taxes.

Question 13

Which of the following is an example of a normative question?

Accepted Answer

A)  How will an increase in the price of gasoline affect taxi drivers? 
B)  What fraction of an income-tax cut will be spent on consumer goods? 
C)  Should the government provide free prescription drugs to senior citizens? 
D)  How will an increase in the minimum wage affect teenaged workers? 
A)  How will an increase in the price of gasoline affect taxi drivers? 
B)  What fraction of an income-tax cut will be spent on consumer goods? 
C)  Should the government provide free prescription drugs to senior citizens? 
D)  How will an increase in the minimum wage affect teenaged workers?

Question 14

Public policies such as the government subsidies for corn are topics of concern in microeconomics.

Accepted Answer

A) True 
 B)False

Question 15

Recall the Application about the government of Mexico City repainting highway lane lines to transform a 4-lane highway into a 6-lane highway to answer the following question(s).
-If a variable decreases from 100 to 60,then using the initial value approach its percentage decline is

Accepted Answer

A)  -40 percent. 
B)  40 percent. 
C)  50 percent. 
D)  160 percent. 
A)  -40 percent. 
B)  40 percent. 
C)  50 percent. 
D)  160 percent.

Question 16

Printing presses,forklifts,and assembly plants are examples of which factor of production?

Accepted Answer

A)  physical capital 
B)  human capital 
C)  entrepreneurship 
D)  labor 
A)  physical capital 
B)  human capital 
C)  entrepreneurship 
D)  labor

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

Topics regarding why an economy is in a recession are in the realm of macroeconomics,while topics concerning long term economic growth are not.

Accepted Answer

A) True 
 B)False

Question 19

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 20

Explain three ways we can use microeconomics analysis.

Accepted Answer

One reason for studying microeconomics i

Macroeconomics is best described as the study of

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

Microeconomics is the study of aggregate behavior in the economy.

Which of the following is a topic of microeconomics?

The slope of a straight line is calculated as

Which of the following is NOT a microeconomic question?

Microeconomics is the study of the choices made by ________ and how these choices affect the markets.

Why are fast growing economies predicted to grow even faster in the future?

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

Which of the following is NOT a question answered with normative economic reasoning?

In the final two decades of the 20th century,sub-Saharan African economies grew rapidly.

One efficient solution to congestion is to

Which of the following is an example of a normative question?

Public policies such as the government subsidies for corn are topics of concern in microeconomics.

Recall the Application about the government of Mexico City repainting highway lane lines to transform a 4-lane highway into a 6-lane highway to answer the following question(s). -If a variable decreases from 100 to 60,then using the initial value approach its percentage decline is

Printing presses,forklifts,and assembly plants are examples of which factor of production?

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

Topics regarding why an economy is in a recession are in the realm of macroeconomics,while topics concerning long term economic growth are not.

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.

Explain three ways we can use microeconomics analysis.

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

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Exam 1: Introduction: What Is Economics

Macroeconomics is best described as the study of

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

Microeconomics is the study of aggregate behavior in the economy.

Which of the following is a topic of microeconomics?

The slope of a straight line is calculated as

Which of the following is NOT a microeconomic question?

Microeconomics is the study of the choices made by ________ and how these choices affect the markets.

Why are fast growing economies predicted to grow even faster in the future?

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

Which of the following is NOT a question answered with normative economic reasoning?

In the final two decades of the 20th century,sub-Saharan African economies grew rapidly.

One efficient solution to congestion is to

Which of the following is an example of a normative question?

Public policies such as the government subsidies for corn are topics of concern in microeconomics.

Recall the Application about the government of Mexico City repainting highway lane lines to transform a 4-lane highway into a 6-lane highway to answer the following question(s). -If a variable decreases from 100 to 60,then using the initial value approach its percentage decline is

Printing presses,forklifts,and assembly plants are examples of which factor of production?

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

Topics regarding why an economy is in a recession are in the realm of macroeconomics,while topics concerning long term economic growth are not.

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.

Explain three ways we can use microeconomics analysis.

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