Exam 1: Getting Started

Two economists can agree that raising the minimum wage creates unemployment yet one might argue that raising the minimum wage is a good policy and the other that it is a bad policy.Why can this difference exist? Be sure to use the terms positive and normative in your answer.

Which of the following is a microeconomic issue?

-A steep slope in a time series graph means the variable is

-The figure above shows the relationship between distance sprinted and recovery time.The curve becomes steeper because as the distance sprinted increases,

Macroeconomics is the study of

A cross-section graph

When unskilled teens earn less than college graduates, society answers the ________ question.

-In the figure above, between points A and B, what is the slope of the line?

Trend refers to

Which economic question depends on the incomes that people earn and the prices they pay for goods and services?

-The figure above shows the relationship between the time a student spends studying and the student's GPA that semester.This figure shows ________ relationship between the time spent studying and the GPA.

-In the figure above, ceteris paribus, an increase in x is associated with

-The slope of the line shown in the above figure is

If the quantity of the variable on the y-axis increases by 10 when the quantity of the variable on the x-axis decreases by 2, then the slope of the curve equals

A trend is

Economists measure opportunity cost

You have data for the amount of rainfall in 50 cities for the month of June.The type of graph to best display these data would be a

On a graph showing the relationship between x and y, the ceteris paribus condition implies that

Which of the following is true? i. A rational choice is made on the margin. ii. Microeconomics is the study of the national economy while macroeconomics is the study of the global economy. iii. Economists try to understand how the economic world works by testing normative statements.

Which of the following statements is a normative statement?