Question 1

Deciding if a company will produce automobiles by manual labor or with the use of robots answers the economic question of:

Accepted Answer

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

Question 2

Economists use assumptions to:

Accepted Answer

A)  focus on what really matters. 
B)  simplify decision- making. 
C)  make things simpler. 
D)  all of the above 
A)  focus on what really matters. 
B)  simplify decision- making. 
C)  make things simpler. 
D)  all of the above

Question 3

What is an economic view of traffic congestion?

Accepted Answer

The economic view of traffic congestion

Question 4

The slope of a nonlinear relationship changes as the variables change.

Accepted Answer

A) True 
 B)False

Question 5

Talking about alternatives is the first step in a process that helps us make better choices about how we use our resources.

Accepted Answer

A) True 
 B)False

Question 6

Studies that look into the effects of state education spending cuts on the poverty rates of minorities use:

Accepted Answer

A)  microeconomics to make managerial and personal decisions. 
B)  microeconomics to evaluate the merits of public policies. 
C)  microeconomics to understand marginal changes in the macroeconomy. 
D)  microeconomics to understand markets and predict changes. 
A)  microeconomics to make managerial and personal decisions. 
B)  microeconomics to evaluate the merits of public policies. 
C)  microeconomics to understand marginal changes in the macroeconomy. 
D)  microeconomics to understand markets and predict changes.

Question 7

Most modern economic analysis is positive in nature, but many issues also involve questions with normative economics.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following did not directly cause the worldwide recession in 2007- 2008?

Accepted Answer

A)  the decision by the government to bailout banks in 2008 
B)  easy access to credit in the U.S. 
C)  booming housing prices that ultimately dropped 
D)  a large number of home purchasers who were unable to afford the homes 
A)  the decision by the government to bailout banks in 2008 
B)  easy access to credit in the U.S. 
C)  booming housing prices that ultimately dropped 
D)  a large number of home purchasers who were unable to afford the homes

Question 9

There is a positive relationship between two variables if the two variables:

Accepted Answer

A)  have positive values. 
B)  have negative values. 
C)  move in the same direction. 
D)  move in opposite directions. 
A)  have positive values. 
B)  have negative values. 
C)  move in the same direction. 
D)  move in opposite directions.

Question 10

It takes longer to set up a business in Canada than in Mozambique.

Accepted Answer

A) True 
 B)False

Question 11

If one variable A falls the other variable B falls, then a line generated by putting variable A on the x- axis and variable B on the y- axis should be upward sloping.

Accepted Answer

A) True 
 B)False

Question 12

Economists assume that individuals make informed decisions and act in their own self- interest.

Accepted Answer

A) True 
 B)False

Question 13

Markets do not determine the quantity of goods sold, only the price.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is a question answered with positive economic analysis?

Accepted Answer

A)  If we had more money, should the college offer free parking for students? 
B)  If the college increased tuition, by how much will class sizes decline? 
C)  As a result of the recession, should the college cut tuition to stimulate enrollments? 
D)  If we can afford it, should the college provide more financial aid assistance? 
A)  If we had more money, should the college offer free parking for students? 
B)  If the college increased tuition, by how much will class sizes decline? 
C)  As a result of the recession, should the college cut tuition to stimulate enrollments? 
D)  If we can afford it, should the college provide more financial aid assistance?

Question 15

A variable is a measure that can take on different values.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is a macroeconomic question?

Accepted Answer

A)  Should the government prevent the merger of two large firms? 
B)  Will a constitutional amendment to balance the federal budget lead to good economic policy? 
C)  Should a firm decide to enter a particular market? 
D)  All of the above are macroeconomic questions. 
A)  Should the government prevent the merger of two large firms? 
B)  Will a constitutional amendment to balance the federal budget lead to good economic policy? 
C)  Should a firm decide to enter a particular market? 
D)  All of the above are macroeconomic questions.

Question 17

If a variable is 100 and then decreases to 60, then using the initial value approach its percentage decline is:

Accepted Answer

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

Question 18

Is money a scarce factor of production? Explain.

Accepted Answer

No. Money is not used to produ

Question 19

Macroeconomics is best described as the study of:

Accepted Answer

A)  the relationship between inflation and wage inequality. 
B)  the nation's economy as a whole. 
C)  the choices made by individual households, firms, and governments. 
D)  very large issues. 
A)  the relationship between inflation and wage inequality. 
B)  the nation's economy as a whole. 
C)  the choices made by individual households, firms, and governments. 
D)  very large issues.

Question 20

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of:

Accepted Answer

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

Deciding if a company will produce automobiles by manual labor or with the use of robots answers the economic question of:

Economists use assumptions to:

What is an economic view of traffic congestion?

The slope of a nonlinear relationship changes as the variables change.

Talking about alternatives is the first step in a process that helps us make better choices about how we use our resources.

Studies that look into the effects of state education spending cuts on the poverty rates of minorities use:

Most modern economic analysis is positive in nature, but many issues also involve questions with normative economics.

Which of the following did not directly cause the worldwide recession in 2007- 2008?

There is a positive relationship between two variables if the two variables:

It takes longer to set up a business in Canada than in Mozambique.

If one variable A falls the other variable B falls, then a line generated by putting variable A on the x- axis and variable B on the y- axis should be upward sloping.

Economists assume that individuals make informed decisions and act in their own self- interest.

Markets do not determine the quantity of goods sold, only the price.

Which of the following is a question answered with positive economic analysis?

A variable is a measure that can take on different values.

Which of the following is a macroeconomic question?

If a variable is 100 and then decreases to 60, then using the initial value approach its percentage decline is:

Is money a scarce factor of production? Explain.

Macroeconomics is best described as the study of:

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of:

The Key Principles of Economics

Exchange and Markets

Demand, Supply, and Market Equilibrium

Measuring a Nations Production and Income

Unemployment and Inflation

The Economy at Full Employment

Why Do Economies Grow

Aggregate Demand and Aggregate Supply

Fiscal Policy

The Income-Expenditure Model

Investment and Financial Markets

Money and the Banking System

The Federal Reserve and Monetary Policy

Modern Macroeconomics: From the Short Run to the Long Run

The Dynamics of Inflation and Unemployment

Macroeconomic Policy Debates

International Trade and Public Policy

The World of International Finance

Filters

Exam 1: Introduction: What Is Economics

Deciding if a company will produce automobiles by manual labor or with the use of robots answers the economic question of:

Economists use assumptions to:

What is an economic view of traffic congestion?

The slope of a nonlinear relationship changes as the variables change.

Talking about alternatives is the first step in a process that helps us make better choices about how we use our resources.

Studies that look into the effects of state education spending cuts on the poverty rates of minorities use:

Most modern economic analysis is positive in nature, but many issues also involve questions with normative economics.

Which of the following did not directly cause the worldwide recession in 2007- 2008?

There is a positive relationship between two variables if the two variables:

It takes longer to set up a business in Canada than in Mozambique.

If one variable A falls the other variable B falls, then a line generated by putting variable A on the x- axis and variable B on the y- axis should be upward sloping.

Economists assume that individuals make informed decisions and act in their own self- interest.

Markets do not determine the quantity of goods sold, only the price.

Which of the following is a question answered with positive economic analysis?

A variable is a measure that can take on different values.

Which of the following is a macroeconomic question?

If a variable is 100 and then decreases to 60, then using the initial value approach its percentage decline is:

Is money a scarce factor of production? Explain.

Macroeconomics is best described as the study of:

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of:

The Key Principles of Economics

Exchange and Markets

Demand, Supply, and Market Equilibrium

Measuring a Nations Production and Income

Unemployment and Inflation

The Economy at Full Employment

Why Do Economies Grow

Aggregate Demand and Aggregate Supply

Fiscal Policy

The Income-Expenditure Model

Investment and Financial Markets

Money and the Banking System

The Federal Reserve and Monetary Policy

Modern Macroeconomics: From the Short Run to the Long Run

The Dynamics of Inflation and Unemployment

Macroeconomic Policy Debates

International Trade and Public Policy

The World of International Finance

Filters