Exam 1: What Is Economics

Macroeconomics is the study of aggregate variables such as national production and unemployment.

An incentive

Copper falls into which factor of production category?

-"As you devote more hours to studying, your GPA increases." A graph of this relationship would show

When Ben Bernanke, Chairman of the Federal Reserve, addresses Congress regarding the United States role in the world economy, he is discussing

Which of the following is a positive statement?

According to Adam Smith,

Which of the following are considered factors of production used to produce goods and services? I. Land II) Labor III) Capital IV) Entrepreneurship

-In the table above, y is measured along the y-axis and x along the x-axis. The slope of the relationship between x = 0 and x = 2 is

-What does the slope of the curved line at point A shown in the above figure equal?

Factors of production are grouped into four categories:

The fact that a rock star earns $5 million a year while a teacher earns $25,000 annually is most directly an example of an economy answering the ________ part of one of the two big economic questions.

In the above figure, when the interest rate is 8 percent and household income is $40,000, household consumption is

-With y measured on the vertical axis and x measured on the horizontal axis, the slope of a straight line is defined as

A cross-section graph can show how economic variables for different groups of people vary over time.

The slope of a straight line increases as the numbers on the x-axis become larger.

An outcome is considered efficient if

-In the above figure, the slope at point b is

Economics can be defined as the social science that explains the ________.

-In the above figure, x is