Exam 1: What Economics Is About

The coordinates of point A are 400 units of X and 40 units of Y.The coordinates of point B are 480 units of X and 60 units of Y.With X on the horizontal axis and Y on the vertical axis,the slope of the line between points A and B is

The author of the textbook defines economics as the

Define the term rationing device and give an example of each of three possible rationing devices.Explain how scarcity implies the need for a rationing device.

Ceteris paribus means

The synonym economists commonly use for additional is

The branch of economics that studies the decisions made by individuals and firms is called macroeconomics.

According to economists,competition exists because of

To an economist,the terms factor and resource are synonyms.

The condition often used in economics to isolate the relationship between two variables is

According to economists,money is a resource.

To an economist,utility means:

The coordinates of point A are 30 units of X and 70 units of Y.The coordinates of point B are 28 units of X and 76 units of Y.With X on the horizontal axis and Y on the vertical axis,the slope of the line between points A and B is

Scarcity affects everyone,even billionaires.

Which statement uses the term ceteris paribus correctly?

What is the difference between macroeconomics and microeconomics? Give an example of a question that a macroeconomist might be interested in answering,then do the same for a microeconomist.

A line is parallel to the vertical axis.The slope of the line is

The higher the opportunity cost of attending college,

Elite colleges and universities use standardized test scores (such as SAT and ACT scores)and high school grades as

Decision making "at the margin" means making a choice based on __________ of a decision.

When a person is making a decision at the margin he or she is comparing the additional benefit of that activity to the additional cost of the proposed action.