Exam 1: What Is Economics

Jed had an exam score of 50 percentage points.There is an extra credit assignment that Jed can complete that will raise his exam score by 20 percentage points.Jed has determined that the extra credit assignment will take 10 hours of his time.Jed will complete the assignment he values the

Human capital is

If an increase in x (the variable on the horizontal axis) from 6 to 8 units causes a decrease in y (the variable on the vertical axis) from 4 to 3 units,the slope equals

In economics,positive statements are about

Explain why both rich and poor people experience scarcity.

Which of the following statements is correct?

A graph measures y on the vertical axis and x on the horizontal.The curve on the graph is a vertical line.From this fact we know that

Today,Julie attended her 12:30 Economics class.If she hadn't gone to class,Julie would have gone out to lunch with friends.She had other options; she could have worked or slept in.Julie's opportunity cost of going to class is the

Statements about what ought to be are called

Which of the following is a positive statement?

Which of the following is a positive statement?

Because we face scarcity,every choice involves

-"As interest rates rise,people save more money." A graph displaying this relationship would show

In which of the following cases is the slope of a line positive and less than infinity?

The study of the choices made by individuals is part of the definition of

Suppose Canon Inc.decided to invest 45 billion yen in developing and launching a new model of its digital camera,expecting that it will bring additional sales of 60 billion yen.The company has already invested 38 billion yen when the marketing department suddenly finds out that the introduction of a similar camera by Sony will reduce Canon's expected additional sales to 30 billion yen.The company's management is trying to decide whether to continue investing in the new product or close the project.Canon hires you as an economic consultant.So,think like an economist to help the company's management make their decision: a) At this point in time,what is Canon's marginal cost of introducing the new product? b) What is Canon's marginal benefit from introducing the new product? c) Will you advise Canon to finish the project and introduce the new product? Why or why not? What principles of economic thinking will help you analyze the situation and make the right choice?

Suppose that the government of New York state promises to decrease taxes to a firm if it decides to stay in New York instead of moving to another state.This policy on the part of the state constitutes ________,to make the ________ of the firm remaining in New York.

Which of the following is NOT an example of an opportunity cost?

When graphed,variables that are unrelated are shown by either a horizontal or a vertical line.

Which of the following is a microeconomic topic?