Exam 1: What Is Economics?

"Ceteris paribus" refers to the idea that if more than two variables are graphed, only one variable must be held constant.

-The slope of the line in the above figure is

-A scatter diagram shows the

The vertical axis in a graph

The graph of two variables, x and y, is a horizontal line. This result indicates that x and y are

Misty has the option of purchasing one of three products: Brand A, Brand B, or Brand C. Each costs ten dollars. If she decides that Brand A meets her needs best, then the opportunity cost of this decision is

Which of the following is a microeconomic topic?

If two variables are positively related, then

One economist says that raising taxes on gas would be in the social interest. What does this economist mean?

Suppose that for a curve, as the variable measured on the x-axis increases, the variable measured on the y-axis decreases. The curve has a ________ slope.

-The above figure graphs the price of a bushel of wheat and housing starts. The graph shows the variables are

-In the above, which figure shows a linear relationship?

Scarcity applies to both the rich and the poor.

Which of the following is NOT an investment in human capital?

On the horizontal axis of a graph, generally

You notice that when the inflation rate increases, the interest rate tends to increase. This observation indicates that

A negative relationship exists between the variable measured along the y-axis and the variable measured along the x-axis if

Which of the following is NOT a factor of production?

In the above figure, if the tax rate is increased from 20 percent to 30 percent, tax revenue

-In the above figure, using the slope across an arc, the slope of the curve between points b and c is