Question 1

According to the U.S.Congressional Budget Office,immigrants in the United States:

Accepted Answer

A) are wealthier on average than current residents. 
B) are more productive on average than current residents. 
C) are less educated on average than current residents. 
D) are more skilled and experienced on average than current residents. 
A) are wealthier on average than current residents. 
B) are more productive on average than current residents. 
C) are less educated on average than current residents. 
D) are more skilled and experienced on average than current residents.

Question 2

Which of the following is an argument in favor of the National Collegiate Athletic Association [NCAA] cartel?

Accepted Answer

A) Those harmed by the NCAA policies are often more well off than those who benefit. 
B) Student athletes are paid much more than their marginal value product. 
C) Paying college athletes would destroy their amateur status and turn college athletics into a business. 
D) NCAA policies result in a perfectly competitive market for student-athletes. 
A) Those harmed by the NCAA policies are often more well off than those who benefit. 
B) Student athletes are paid much more than their marginal value product. 
C) Paying college athletes would destroy their amateur status and turn college athletics into a business. 
D) NCAA policies result in a perfectly competitive market for student-athletes.

Question 3

Which of the following acts passed by the Congress in 1938 established a minimum wage for workers in the U.S.?

Accepted Answer

A) The Right to Employment Act 
B) The Fair Labor Standards Act 
C) The Employment Act 
D) The American Jobs Act 
A) The Right to Employment Act 
B) The Fair Labor Standards Act 
C) The Employment Act 
D) The American Jobs Act

Question 4

What determines who bears the burden of the social security tax?

Accepted Answer

There are two important points here.Firs

Question 5

Which of the following is not a predictable result of a refusal by a small number of employers to hire African Americans?

Accepted Answer

A) The wage rates of African Americans falls below those for whites 
B) Non-discriminating firms hire larger proportions of African Americans 
C) Segregated employment patterns will emerge 
D) Non-discriminating firms hire smaller proportions of whites 
A) The wage rates of African Americans falls below those for whites 
B) Non-discriminating firms hire larger proportions of African Americans 
C) Segregated employment patterns will emerge 
D) Non-discriminating firms hire smaller proportions of whites

Question 6

Assume that initially employers do not discriminate against women.If one third of all employers,accounting for one-third of all employment,begin to discriminate by just hiring men,then:

Accepted Answer

A) all women will begin to earn lower wage rates. 
B) wages for men will rise while that of women will remain unchanged. 
C) employment patterns for men and women will change,but wage rates will not change. 
D) wages for women will rise while that of men will remain unchanged. 
A) all women will begin to earn lower wage rates. 
B) wages for men will rise while that of women will remain unchanged. 
C) employment patterns for men and women will change,but wage rates will not change. 
D) wages for women will rise while that of men will remain unchanged.

Question 7

Discrimination might exist in a labor market at times,but it is not likely to last in the long run because:

Accepted Answer

A) the supply of labor is perfectly inelastic. 
B) costs are imposed on discriminators,which reduces their profits. 
C) discrimination is easy to define,allowing effective remedies do eliminate it. 
D) government intervention increases the cost borne by the discriminators. 
A) the supply of labor is perfectly inelastic. 
B) costs are imposed on discriminators,which reduces their profits. 
C) discrimination is easy to define,allowing effective remedies do eliminate it. 
D) government intervention increases the cost borne by the discriminators.

Question 8

Which of the following is consistent with the National Collegiate Athletic Association [NCAA] representing a cartel among schools in their "hiring" of student-athletes?

Accepted Answer

A) Many schools violate NCAA rules. 
B) Some schools make large profits from their basketball and football programs. 
C) As television has increased the demand for college athletic events,the number and severity of NCAA penalties have increased. 
D) The wage paid to an athlete under NCAA guidelines is equal to the athlete's marginal value product. 
A) Many schools violate NCAA rules. 
B) Some schools make large profits from their basketball and football programs. 
C) As television has increased the demand for college athletic events,the number and severity of NCAA penalties have increased. 
D) The wage paid to an athlete under NCAA guidelines is equal to the athlete's marginal value product.

Question 9

An increase in the minimum wage imposed by the government causes an increase in unemployment because:

Accepted Answer

A) the labor supply curves are backward-bending. 
B) the demand curves for labor are downward-sloping. 
C) leisure is a normal good. 
D) the increase in the wage rate reduces the price of leisure. 
A) the labor supply curves are backward-bending. 
B) the demand curves for labor are downward-sloping. 
C) leisure is a normal good. 
D) the increase in the wage rate reduces the price of leisure.

Question 10

An aggregate labor supply curve is likely to be vertical if:

Accepted Answer

A) there is a fixed supply of labor. 
B) the opportunity cost of labor service is high. 
C) the substitution effect of a wage increase exactly offsets the income effect. 
D) leisure is a normal good. 
A) there is a fixed supply of labor. 
B) the opportunity cost of labor service is high. 
C) the substitution effect of a wage increase exactly offsets the income effect. 
D) leisure is a normal good.

Question 11

The aggregate supply curve of hours of work used to analyze a payroll tax is generally:

Accepted Answer

A) elastic. 
B) perfectly elastic. 
C) inelastic. 
D) unit elastic. 
A) elastic. 
B) perfectly elastic. 
C) inelastic. 
D) unit elastic.

Question 12

Which of the following is not likely to contribute to wage disparity between men and women?

Accepted Answer

A) Differences in employment experience 
B) Primary care responsibilities for family 
C) An increase in technology related employment 
D) Differences in the average number of hours worked per week 
A) Differences in employment experience 
B) Primary care responsibilities for family 
C) An increase in technology related employment 
D) Differences in the average number of hours worked per week

Question 13

Which of the following factors hinders the success of a cartel agreement between input buyers?

Accepted Answer

A) Government intervention in the input market 
B) Presence of a small number of firms in different input industries 
C) The use of a variety of inputs in the production of a good by firms 
D) The low demand for the final product in the output market 
A) Government intervention in the input market 
B) Presence of a small number of firms in different input industries 
C) The use of a variety of inputs in the production of a good by firms 
D) The low demand for the final product in the output market

Question 14

If the current Social Security system in a country is a "pay-as-you-go" system,it means that:

Accepted Answer

A) employers and employees must pay taxes once in a month. 
B) employers pay the bulk of employees' retirement costs. 
C) individual retirement accounts are set up for each work as they go. 
D) taxes from current workers are transferred to current retirees. 
A) employers and employees must pay taxes once in a month. 
B) employers pay the bulk of employees' retirement costs. 
C) individual retirement accounts are set up for each work as they go. 
D) taxes from current workers are transferred to current retirees.

Question 15

Which of the following explains why immigration has led to an increase in income inequality in the U.S.?

Accepted Answer

A) Immigration has increased the supply of experienced and skilled laborers who effectively earn more than the U.S.workers. 
B) Immigration has lowered the wage earnings of the U.S.residents and increased the income of the capital owners. 
C) The proportion of immigrants in the working-age population has far exceeded the proportion of U.S.workers 
D) The immigrants are more educated than the domestic residents 
A) Immigration has increased the supply of experienced and skilled laborers who effectively earn more than the U.S.workers. 
B) Immigration has lowered the wage earnings of the U.S.residents and increased the income of the capital owners. 
C) The proportion of immigrants in the working-age population has far exceeded the proportion of U.S.workers 
D) The immigrants are more educated than the domestic residents

Question 16

For a firm that operates in an input market cartel that has successfully coordinated input prices
Among the cartel members,the marginal cost of the input:

Accepted Answer

A) exceeds the input's price. 
B) is less than the input price. 
C) is constant and equals unity. 
D) is zero. 
A) exceeds the input's price. 
B) is less than the input price. 
C) is constant and equals unity. 
D) is zero.

Question 17

Empirical evidence suggests that a large majority of the poor,in the U.S. ,are not directly affected by the minimum wage.This is because most poor workers:

Accepted Answer

A) do not have a job. 
B) earn a below subsistence wage. 
C) do not receive any government aid. 
D) live in households with income above the poverty line. 
A) do not have a job. 
B) earn a below subsistence wage. 
C) do not receive any government aid. 
D) live in households with income above the poverty line.

Question 18

Use the following figure to answer the question : Figure 18-2 : 
shows the demand and supply curves of labor.A per-unit tax imposed on the wage income of the employees shifts the supply curve of labor upward.  
-Refer to Figure 18-2.The total revenue collected by the government from the per-unit tax is represented by the area:

Accepted Answer

A) BFL1O. 
B) CEL2O. 
C) ABFG. 
D) ACEG. 
A) BFL1O. 
B) CEL2O. 
C) ABFG. 
D) ACEG.

Question 19

A recent study investigating discrimination in hiring found that 20 percent of the employers in the sample discriminated against African Americans and 7 percent discriminated against whites.If the sample of firms is representative of the population as a whole,it can be predicted that:

Accepted Answer

A) African Americans will earn more on average than whites even when they are equally qualified. 
B) African Americans will earn more than whites in 20 percent of the firms and whites will earn more than African Americans in 7 percent of the firms. 
C) equally qualified African Americans and whites will earn the same on average,but the proportion of African Americans to whites will vary across firms. 
D) 20 percent of the African Americans and 7 percent of the whites will earn more than the average wage. 
A) African Americans will earn more on average than whites even when they are equally qualified. 
B) African Americans will earn more than whites in 20 percent of the firms and whites will earn more than African Americans in 7 percent of the firms. 
C) equally qualified African Americans and whites will earn the same on average,but the proportion of African Americans to whites will vary across firms. 
D) 20 percent of the African Americans and 7 percent of the whites will earn more than the average wage.

Question 20

Which of the following is most likely to occur after an increase in the minimum wage?

Accepted Answer

A) Low-skilled minority workers will face less discrimination in seeking employment. 
B) The demand for skilled workers will fall. 
C) Wages will rise in the sectors of the economy not covered by the law. 
D) Employers will reduce the fringe benefits for workers who are covered by the law. 
A) Low-skilled minority workers will face less discrimination in seeking employment. 
B) The demand for skilled workers will fall. 
C) Wages will rise in the sectors of the economy not covered by the law. 
D) Employers will reduce the fringe benefits for workers who are covered by the law.

According to the U.S.Congressional Budget Office,immigrants in the United States:

Which of the following is an argument in favor of the National Collegiate Athletic Association [NCAA] cartel?

Which of the following acts passed by the Congress in 1938 established a minimum wage for workers in the U.S.?

What determines who bears the burden of the social security tax?

Which of the following is not a predictable result of a refusal by a small number of employers to hire African Americans?

Assume that initially employers do not discriminate against women.If one third of all employers,accounting for one-third of all employment,begin to discriminate by just hiring men,then:

Discrimination might exist in a labor market at times,but it is not likely to last in the long run because:

Which of the following is consistent with the National Collegiate Athletic Association [NCAA] representing a cartel among schools in their "hiring" of student-athletes?

An increase in the minimum wage imposed by the government causes an increase in unemployment because:

An aggregate labor supply curve is likely to be vertical if:

The aggregate supply curve of hours of work used to analyze a payroll tax is generally:

Which of the following is not likely to contribute to wage disparity between men and women?

Which of the following factors hinders the success of a cartel agreement between input buyers?

If the current Social Security system in a country is a "pay-as-you-go" system,it means that:

Which of the following explains why immigration has led to an increase in income inequality in the U.S.?

For a firm that operates in an input market cartel that has successfully coordinated input prices Among the cartel members,the marginal cost of the input:

Empirical evidence suggests that a large majority of the poor,in the U.S. ,are not directly affected by the minimum wage.This is because most poor workers:

A recent study investigating discrimination in hiring found that 20 percent of the employers in the sample discriminated against African Americans and 7 percent discriminated against whites.If the sample of firms is representative of the population as a whole,it can be predicted that:

Which of the following is most likely to occur after an increase in the minimum wage?

An Introduction to Microeconomics

Supply and Demand

The Theory of Consumer Choice

Individual and Market Demand

Using Consumer Choice Theory

Exchange, Efficiency, and Prices

Production

The Cost of Production

Profit Maximization in Perfectly Competitive Markets

Using the Competitive Model

Monopoly

Product Pricing With Monopoly Power

Monopolistic Competition and Oligopoly

Game Theory and the Economics of Information

Using Noncompetitive Market Models

Employment and Pricing of Inputs

Wages, Rent, Interest, and Profit

General Equilibrium Analysis and Economic Efficiency

Public Goods and Externalities

Filters

Exam 18: Using Input Market Analysis

According to the U.S.Congressional Budget Office,immigrants in the United States:

Which of the following is an argument in favor of the National Collegiate Athletic Association [NCAA] cartel?

Which of the following acts passed by the Congress in 1938 established a minimum wage for workers in the U.S.?

What determines who bears the burden of the social security tax?

Which of the following is not a predictable result of a refusal by a small number of employers to hire African Americans?

Assume that initially employers do not discriminate against women.If one third of all employers,accounting for one-third of all employment,begin to discriminate by just hiring men,then:

Discrimination might exist in a labor market at times,but it is not likely to last in the long run because:

Which of the following is consistent with the National Collegiate Athletic Association [NCAA] representing a cartel among schools in their "hiring" of student-athletes?

An increase in the minimum wage imposed by the government causes an increase in unemployment because:

An aggregate labor supply curve is likely to be vertical if:

The aggregate supply curve of hours of work used to analyze a payroll tax is generally:

Which of the following is not likely to contribute to wage disparity between men and women?

Which of the following factors hinders the success of a cartel agreement between input buyers?

If the current Social Security system in a country is a "pay-as-you-go" system,it means that:

Which of the following explains why immigration has led to an increase in income inequality in the U.S.?

For a firm that operates in an input market cartel that has successfully coordinated input prices Among the cartel members,the marginal cost of the input:

Empirical evidence suggests that a large majority of the poor,in the U.S. ,are not directly affected by the minimum wage.This is because most poor workers:

A recent study investigating discrimination in hiring found that 20 percent of the employers in the sample discriminated against African Americans and 7 percent discriminated against whites.If the sample of firms is representative of the population as a whole,it can be predicted that:

Which of the following is most likely to occur after an increase in the minimum wage?

An Introduction to Microeconomics

Supply and Demand

The Theory of Consumer Choice

Individual and Market Demand

Using Consumer Choice Theory

Exchange, Efficiency, and Prices

Production

The Cost of Production

Profit Maximization in Perfectly Competitive Markets

Using the Competitive Model

Monopoly

Product Pricing With Monopoly Power

Monopolistic Competition and Oligopoly

Game Theory and the Economics of Information

Using Noncompetitive Market Models

Employment and Pricing of Inputs

Wages, Rent, Interest, and Profit

General Equilibrium Analysis and Economic Efficiency

Public Goods and Externalities

Filters