Exam 1: The Nature of Economics

Suppose that on average there are five more car accidents for every extra inch of snowfall in a certain region. If snowfall is graphed on the y axis and car accidents on the x axis, then if we graph this relationship, the slope of the line will be

If economists are making the assumption that business people try to maximize profits, the best way to determine whether this assumption is useful or not is to

The intersection of the x axis and the y axis is called the

Under a pure price system, the decision of resource allocation is made by

Which of the following is a positive economic statement?

Given a linear curve, the value on the y-axis changes from 100 to 120 when the value on the x-axis changes from 20 to 10, then the slope of that curve is

Macroeconomics is concerned primarily with

"If A occurs then B will follow" is a

The study of the aggregate economic variables is

What assumption about human motivation is made in economics? Explain.

The use of data in economic models is important because

In an inverse relationship,

Which of the expressions below best describes the aim of economic theory?

The author of the book An Inquiry into the Nature and Causes of the Wealth of Nations is

The relationship between beers consumed the night before an exam and test grade will be graphed as

Economic resources are

Resources are

The assumption that people do not intentionally make decisions that would leave them worse off is known as

Which of the following would most likely be part of the study of microeconomics?

The slope of a line is the