Question 1

The statement,"The Canadian Government should increase the operating grants to all Canadian universities and colleges," is an example of

Accepted Answer

A)  an empirical statement. 
B)  a positive statement. 
C)  a value-free statement. 
D)  a normative statement. 
E)  an unfair statement. 
A)  an empirical statement. 
B)  a positive statement. 
C)  a value-free statement. 
D)  a normative statement. 
E)  an unfair statement.

Question 2

Jim,a student at Southern Province University,is enrolled in 15 credit hours this semester.He is passing Calculus,but just barely,so he is considering withdrawing from the course.He tells a friend,"I would drop the course but I don't want to waste the $500 I paid in tuition." His friend replies,"The $500 tuition you paid for the course is irrelevant to your decision.Your grade in the course is the only thing that is important now." The friend is

Accepted Answer

A)  incorrect,because the tuition will have to be paid again when Jim retakes the course. 
B)  correct,because the tuition is an average cost and average costs should never be considered when making decisions. 
C)  incorrect,because the tuition is a marginal cost and marginal costs should always be considered when making decisions. 
D)  correct,because the tuition is a sunk cost and sunk costs should not be considered when making decisions. 
E)  incorrect,and obviously so rich that money means nothing to him/her. 
A)  incorrect,because the tuition will have to be paid again when Jim retakes the course. 
B)  correct,because the tuition is an average cost and average costs should never be considered when making decisions. 
C)  incorrect,because the tuition is a marginal cost and marginal costs should always be considered when making decisions. 
D)  correct,because the tuition is a sunk cost and sunk costs should not be considered when making decisions. 
E)  incorrect,and obviously so rich that money means nothing to him/her.

The statement,"The Canadian Government should increase the operating grants to all Canadian universities and colleges," is an example of

Measuring Macroeconomic Performance: Saving and Wealth

Measuring Macroeconomic Performance: Wages, Employment and the Labour Market

Short-Term Economic Fluctuations

Spending and Output in the Short Run

Fiscal Policy

Money, Prices and the Reserve Bank

The Reserve Bank and the Economy

The Aggregate Demand - Aggregate Supply Model

Macroeconomic Policy

The Economy in the Long Run: an Introduction to Economic Growth

The Production Function Approach to Understanding Growth

Savings, Capital Formation and Comparative Economic Growth

International Trade

Exchange Rates and the Open Economy

The Balance of Payments: Net Exports and International Capital Flows

Filters

Exam 1: Measuring Macroeconomic Performance: Output and Prices

The statement,"The Canadian Government should increase the operating grants to all Canadian universities and colleges," is an example of

Measuring Macroeconomic Performance: Saving and Wealth

Measuring Macroeconomic Performance: Wages, Employment and the Labour Market

Short-Term Economic Fluctuations

Spending and Output in the Short Run

Fiscal Policy

Money, Prices and the Reserve Bank

The Reserve Bank and the Economy

The Aggregate Demand - Aggregate Supply Model

Macroeconomic Policy

The Economy in the Long Run: an Introduction to Economic Growth

The Production Function Approach to Understanding Growth

Savings, Capital Formation and Comparative Economic Growth

International Trade

Exchange Rates and the Open Economy

The Balance of Payments: Net Exports and International Capital Flows

Filters