Question 1

Which of the following generates productive efficiency?

Accepted Answer

A) competition among sellers 
B) competition among buyers 
C) government inspectors 
D) government production rules and regulations 
A) competition among sellers 
B) competition among buyers 
C) government inspectors 
D) government production rules and regulations

Question 2

Which of the following is a normative economic statement?

Accepted Answer

A) Rising global demand for coal has led to increases in the price of coal. 
B) With rising mortgage rates and rising unemployment rates, the number of unsold homes has increased. 
C) Toronto is considering increasing funds for light-rail development to promote the use of public transportation. 
D) Pharmaceutical manufacturers should not be allowed to patent their products so prescription drugs would be more affordable. 
A) Rising global demand for coal has led to increases in the price of coal. 
B) With rising mortgage rates and rising unemployment rates, the number of unsold homes has increased. 
C) Toronto is considering increasing funds for light-rail development to promote the use of public transportation. 
D) Pharmaceutical manufacturers should not be allowed to patent their products so prescription drugs would be more affordable.

Question 3

Figure 1.1
  
-Refer to Figure 1.1.Using the information in the figure above, calculate the percentage change in sales of alcoholic beverages between 2008 and 2011.

Accepted Answer

A) 23.1% 
B) 23.8% 
C) 30% 
D) 42.9% 
A) 23.1% 
B) 23.8% 
C) 30% 
D) 42.9%

Question 4

When production reflects consumer preferences, ________ occurs.

Accepted Answer

A) allocative efficiency 
B) productive efficiency 
C) equity 
D) efficient central planning 
A) allocative efficiency 
B) productive efficiency 
C) equity 
D) efficient central planning

Question 5

If the price of milk was $2.50 a litre and it is now $3.25 a litre, what is the percentage change in price?

Accepted Answer

A) 13 percent 
B) 30 percent 
C) 75 percent 
D) 77 percent 
A) 13 percent 
B) 30 percent 
C) 75 percent 
D) 77 percent

Which of the following generates productive efficiency?

Which of the following is a normative economic statement?

Figure 1.1 -Refer to Figure 1.1.Using the information in the figure above, calculate the percentage change in sales of alcoholic beverages between 2008 and 2011.

When production reflects consumer preferences, ________ occurs.

If the price of milk was $2.50 a litre and it is now $3.25 a litre, what is the percentage change in price?

Trade-Offs, Comparative Advantage, and the Market System

Where Prices Come From: the Interaction of Demand and Supply

Economic Efficiency, Government Price Setting, and Taxes

Externalities, Environmental Policy, and Public Goods

Elasticity: the Responsiveness of Demand and Supply

Comparative Advantage and the Gains From International Trade

Consumer Choice and Behavioral Economics

Technology, Production, and Costs

Firms in Perfectly Competitive Markets

Monopolistic Competition

Oligopoly: Firms in Less Competitive Markets

Monopoly and Antitrust Policy

The Markets for Labour and Other Factors of Production

Public Choice, Taxes, and the Distribution of Income

Pricing Strategy

Firms, the Stock Market, and Corporate Governance

Filters

Exam 1: Economics: Foundations and Models

Which of the following generates productive efficiency?

Which of the following is a normative economic statement?

Figure 1.1 -Refer to Figure 1.1.Using the information in the figure above, calculate the percentage change in sales of alcoholic beverages between 2008 and 2011.

When production reflects consumer preferences, ________ occurs.

If the price of milk was $2.50 a litre and it is now $3.25 a litre, what is the percentage change in price?

Trade-Offs, Comparative Advantage, and the Market System

Where Prices Come From: the Interaction of Demand and Supply

Economic Efficiency, Government Price Setting, and Taxes

Externalities, Environmental Policy, and Public Goods

Elasticity: the Responsiveness of Demand and Supply

Comparative Advantage and the Gains From International Trade

Consumer Choice and Behavioral Economics

Technology, Production, and Costs

Firms in Perfectly Competitive Markets

Monopolistic Competition

Oligopoly: Firms in Less Competitive Markets

Monopoly and Antitrust Policy

The Markets for Labour and Other Factors of Production

Public Choice, Taxes, and the Distribution of Income

Pricing Strategy

Firms, the Stock Market, and Corporate Governance

Filters