Question 1

According to the World View article that compares GDP per capita figures for several nations, which of the following nations has the highest GDP per capita?

Accepted Answer

A) Japan. 
B) Great Britain. 
C) United States. 
D) China. 
A) Japan. 
B) Great Britain. 
C) United States. 
D) China.

Question 2

How will an increase in factor mobility, ceteris paribus, affect an economy's production possibilities curve?

Accepted Answer

A) Shift the curve inward. 
B) Result in a movement from outside the curve to a point on the curve. 
C) Shift the curve outward. 
D) Result in a movement along the curve. 
A) Shift the curve inward. 
B) Result in a movement from outside the curve to a point on the curve. 
C) Shift the curve outward. 
D) Result in a movement along the curve.

Question 3

As a nation's average education level increases, the nation's level of productivity

Accepted Answer

A) Increases, and the production possibilities curve shifts to the right. 
B) Decreases, and the nation's production possibilities curve shifts to the left. 
C) Increases, and the nation moves to a new point on the same production possibilities curve. 
D) Decreases, and the nation moves to a new point on the same production possibilities curve.Human and physical capital increase the productivity of a nation's workers. 
A) Increases, and the production possibilities curve shifts to the right. 
B) Decreases, and the nation's production possibilities curve shifts to the left. 
C) Increases, and the nation moves to a new point on the same production possibilities curve. 
D) Decreases, and the nation moves to a new point on the same production possibilities curve.Human and physical capital increase the productivity of a nation's workers.

Question 4

In providing a legal framework, the government

Accepted Answer

A) Protects patents to encourage entrepreneurship. 
B) Protects copyrights to encourage textbook protection. 
C) Protects the ownership of private property to encourage the private sector. 
D) All of the choices are correct. 
A) Protects patents to encourage entrepreneurship. 
B) Protects copyrights to encourage textbook protection. 
C) Protects the ownership of private property to encourage the private sector. 
D) All of the choices are correct.

Question 5

Income inequality tends to be greatest in

Accepted Answer

A) Poorest countries. 
B) Middle-income countries. 
C) Richest countries. 
D) None of the choices are correct. 
A) Poorest countries. 
B) Middle-income countries. 
C) Richest countries. 
D) None of the choices are correct.

Question 6

According to the World View chart in the text, from highest to lowest real GDP, which is correct?

Accepted Answer

A) United States, Japan, China, Germany, Britain. 
B) United States, China, Japan, Germany, Russia. 
C) United States, China, Japan, Germany, Britain. 
D) United States, China, Germany, Japan, Canada. 
A) United States, Japan, China, Germany, Britain. 
B) United States, China, Japan, Germany, Russia. 
C) United States, China, Japan, Germany, Britain. 
D) United States, China, Germany, Japan, Canada.

Question 7

Average GDP per person is

Accepted Answer

A) Also known as GDP. 
B) Also known as per capita GDP. 
C) The value of the factors of production used to produce output in a country. 
D) A measure of the economic growth rate of a country. 
A) Also known as GDP. 
B) Also known as per capita GDP. 
C) The value of the factors of production used to produce output in a country. 
D) A measure of the economic growth rate of a country.

Question 8

Which of the following definitely means productivity has increased?

Accepted Answer

A) More output from fewer workers. 
B) Less output from fewer workers. 
C) More output from more workers. 
D) Less output from more workers. 
A) More output from fewer workers. 
B) Less output from fewer workers. 
C) More output from more workers. 
D) Less output from more workers.

Question 9

Which of the following statements is true about the U.S.economy?

Accepted Answer

A) The United States produces nearly one-fifth of the world's production. 
B) The United States has the world's third largest economy. 
C) The United States produces less than half as much as China does. 
D) The United States produces less than one-third as much as Japan does. 
A) The United States produces nearly one-fifth of the world's production. 
B) The United States has the world's third largest economy. 
C) The United States produces less than half as much as China does. 
D) The United States produces less than one-third as much as Japan does.

Question 10

Government intervention is sometimes used to reduce the external costs of production.

Accepted Answer

A) True 
 B)False

Question 11

The government regulates food additives

Accepted Answer

A) To keep food producers from dominating their markets. 
B) To restrain the market power of food producers. 
C) To assess their safety. 
D) To prevent externalities. 
A) To keep food producers from dominating their markets. 
B) To restrain the market power of food producers. 
C) To assess their safety. 
D) To prevent externalities.

Question 12

Which of the following is an example of an external cost?

Accepted Answer

A) Unemployment. 
B) Unfair pricing behavior by a monopoly. 
C) Automobile exhaust fumes. 
D) Poverty. 
A) Unemployment. 
B) Unfair pricing behavior by a monopoly. 
C) Automobile exhaust fumes. 
D) Poverty.

Question 13

The theory of how to grow GDP is

Accepted Answer

A) An equity concept while the theory of how to divide GDP is an equity concept. 
B) An equity concept while the theory of how to divide GDP is an efficiency concept. 
C) An efficiency concept while the theory of how to divide GDP is an equity concept. 
D) An efficiency concept while the theory of how to divide GDP is an efficiency concept. 
A) An equity concept while the theory of how to divide GDP is an equity concept. 
B) An equity concept while the theory of how to divide GDP is an efficiency concept. 
C) An efficiency concept while the theory of how to divide GDP is an equity concept. 
D) An efficiency concept while the theory of how to divide GDP is an efficiency concept.

Question 14

The government intervenes in the economy to protect labor by

Accepted Answer

A) Enforcing child labor laws to prevent child exploitation. 
B) Ensuring workplace safety conditions. 
C) Ensuring minimum wages in addition to overtime provisions. 
D) All of the choices are correct. 
A) Enforcing child labor laws to prevent child exploitation. 
B) Ensuring workplace safety conditions. 
C) Ensuring minimum wages in addition to overtime provisions. 
D) All of the choices are correct.

Question 15

On average, since 1900 U.S.output has grown roughly ____ times faster than population growth.

Accepted Answer

A) 5 
B) 4 
C) 3 
D) 2 
A) 5 
B) 4 
C) 3 
D) 2

Question 16

Income inequalities are often greatest in the poorest countries.

Accepted Answer

A) True 
 B)False

Question 17

Which component(s) of U.S.real GDP decreased in size relative to total U.S.real GDP from 1950 to 2000?

Accepted Answer

A) Only agriculture. 
B) Only manufacturing. 
C) Agriculture and manufacturing. 
D) Only services. 
A) Only agriculture. 
B) Only manufacturing. 
C) Agriculture and manufacturing. 
D) Only services.

Question 18

As of the year 2000, agriculture accounted for what percentage of total U.S.output?

Accepted Answer

A) 1 percent. 
B) 5 percent. 
C) 8 percent. 
D) None of the choices are correct. 
A) 1 percent. 
B) 5 percent. 
C) 8 percent. 
D) None of the choices are correct.

Question 19

Which of the following countries experienced a decline in total output from 2000 to 2009?

Accepted Answer

A) Canada. 
B) Zimbabwe. 
C) China. 
D) Burundi. 
A) Canada. 
B) Zimbabwe. 
C) China. 
D) Burundi.

Question 20

Factor mobility aids in economic development when

Accepted Answer

A) A region suffers a natural disaster such as an earthquake or tornado. 
B) A technological advance causes some firms to go out of business. 
C) There is an increase in both outsourcing and insourcing. 
D) All of the choices are correct. 
A) A region suffers a natural disaster such as an earthquake or tornado. 
B) A technological advance causes some firms to go out of business. 
C) There is an increase in both outsourcing and insourcing. 
D) All of the choices are correct.

Exam 2: The Useconomy: a Global View

According to the World View article that compares GDP per capita figures for several nations, which of the following nations has the highest GDP per capita?

How will an increase in factor mobility, ceteris paribus, affect an economy's production possibilities curve?

As a nation's average education level increases, the nation's level of productivity

In providing a legal framework, the government

Income inequality tends to be greatest in

According to the World View chart in the text, from highest to lowest real GDP, which is correct?

Average GDP per person is

Which of the following definitely means productivity has increased?

Which of the following statements is true about the U.S.economy?

Government intervention is sometimes used to reduce the external costs of production.

The government regulates food additives

Which of the following is an example of an external cost?

The theory of how to grow GDP is

The government intervenes in the economy to protect labor by

On average, since 1900 U.S.output has grown roughly ____ times faster than population growth.

Income inequalities are often greatest in the poorest countries.

Which component(s) of U.S.real GDP decreased in size relative to total U.S.real GDP from 1950 to 2000?

As of the year 2000, agriculture accounted for what percentage of total U.S.output?

Which of the following countries experienced a decline in total output from 2000 to 2009?

Factor mobility aids in economic development when

Economics: the Core Issues

Supply and Demand

The Role of Government

Consumer Choice

Elasticity

The Costs of Production

The Competitive Firm

Competitive Markets

Monopoly

Oligopoly

Monopolistic Competition

Natural Monopolies: Deregulation

Environmental Protection

The Farm Problem

The Labor Market

Labor Unions

Financial Markets

Taxes: Equity Versus Efficiency

Transfer Payments: Welfare and Social Security

International Trade

International Finance

Global Poverty

Filters