Question 1

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

Accepted Answer

A) high. 
B) falling. 
C) rising or falling quickly. 
D) rising or falling slowly. 
E) very close to its trend point. 
A) high. 
B) falling. 
C) rising or falling quickly. 
D) rising or falling slowly. 
E) very close to its trend point.

Question 2

-The figure above shows the price of a DVD player from 1996 to 2000.
a.What type of graph is illustrated above?
b.What is the trend in the price of a DVD player?

Accepted Answer

a.The graph is a time-series graph becau

Question 3

What do economists mean when they discuss "scarcity"?

Accepted Answer

Scarcity occurs whenever people's wants

Question 4

A graph shows the average wage of various demographic groups in 2012.The kind of graph used to show these data would be a

Accepted Answer

A) scatter diagram. 
B) time-series graph. 
C) cross-section graph. 
D) Venn diagram. 
E) fixed-year figure. 
A) scatter diagram. 
B) time-series graph. 
C) cross-section graph. 
D) Venn diagram. 
E) fixed-year figure.

Question 5

-The figure above shows the relationship between the time a student spends studying and the student's GPA that semester.The slope of the relationship at point A ________ the slope at point B.

Accepted Answer

A) is greater than 
B) is less than 
C) is equal to 
D) cannot be compared to 
E) can be compared but more information is needed to determine whether the slope is greater than,less than,or equal to 
A) is greater than 
B) is less than 
C) is equal to 
D) cannot be compared to 
E) can be compared but more information is needed to determine whether the slope is greater than,less than,or equal to

Question 6

Trend refers to

Accepted Answer

A) the scale used on the x- and y-axes. 
B) increases but not decreases of a variable. 
C) decreases but not increases of a variable. 
D) a general tendency for a variable to rise or fall. 
E) the difference between the maximum value of the variable and the minimum value of the variable. 
A) the scale used on the x- and y-axes. 
B) increases but not decreases of a variable. 
C) decreases but not increases of a variable. 
D) a general tendency for a variable to rise or fall. 
E) the difference between the maximum value of the variable and the minimum value of the variable.

Question 7

-In the figure above,the relationship between the x variable and the y variable

Accepted Answer

A) is positive. 
B) is negative. 
C) starts by being positive and then becomes negative. 
D) starts by being negative and then becomes positive. 
E) is non-existent because the two variables are unrelated. 
A) is positive. 
B) is negative. 
C) starts by being positive and then becomes negative. 
D) starts by being negative and then becomes positive. 
E) is non-existent because the two variables are unrelated.

Question 8

Congress and the President passed a national health care policy.This is an example of

Accepted Answer

A) the government using economic tools to make policy decisions. 
B) answering the "how" question. 
C) increasing the marginal cost of health care. 
D) increasing the marginal benefit of health care. 
E) normative versus positive economics. 
A) the government using economic tools to make policy decisions. 
B) answering the "how" question. 
C) increasing the marginal cost of health care. 
D) increasing the marginal benefit of health care. 
E) normative versus positive economics.

Question 9

If a decision is made and it is the best choice for society,the decision is said to be

Accepted Answer

A) a valid economic choice. 
B) made in self-interest. 
C) made in social interest. 
D) consist with scarcity. 
E) a want-maximizing choice. 
A) a valid economic choice. 
B) made in self-interest. 
C) made in social interest. 
D) consist with scarcity. 
E) a want-maximizing choice.

Question 10

A cross-section graph

Accepted Answer

A) is divided into different sections. 
B) shows values of an economic variable for different groups in a population at a point in time. 
C) measures time on the x-axis and the variable in which we are interested on the y-axis. 
D) Both answers A and C are correct. 
E) Both answers B and C are correct. 
A) is divided into different sections. 
B) shows values of an economic variable for different groups in a population at a point in time. 
C) measures time on the x-axis and the variable in which we are interested on the y-axis. 
D) Both answers A and C are correct. 
E) Both answers B and C are correct.

Question 11

Which of the following is a macroeconomic topic?

Accepted Answer

A) The federal government's decision to spend more on environmental protection 
B) The county government's decision to increase the sales tax for your county 
C) Why did production and jobs expand slowly in 2011? 
D) General Motors decides what prices to set for their new models. 
E) The effect of floods in agricultural areas on the price and quantity of wheat 
A) The federal government's decision to spend more on environmental protection 
B) The county government's decision to increase the sales tax for your county 
C) Why did production and jobs expand slowly in 2011? 
D) General Motors decides what prices to set for their new models. 
E) The effect of floods in agricultural areas on the price and quantity of wheat

Question 12

What does the slope of a straight line equal? How is the slope of a curved line calculated?

Accepted Answer

The slope of a straight line is calculat

Question 13

The benefit of an activity is

Accepted Answer

A) purely objective and measured in dollars. 
B) the gain or pleasure that it brings. 
C) the value of its opportunity cost. 
D) measured by what must be given up to get one more unit of the activity. 
E) not measurable on the margin. 
A) purely objective and measured in dollars. 
B) the gain or pleasure that it brings. 
C) the value of its opportunity cost. 
D) measured by what must be given up to get one more unit of the activity. 
E) not measurable on the margin.

Question 14

If a curve falls and then rises,it

Accepted Answer

A) has a maximum. 
B) has a minimum. 
C) has a linear relationship. 
D) has a constant slope relationship. 
E) shows no relationship between the two variables. 
A) has a maximum. 
B) has a minimum. 
C) has a linear relationship. 
D) has a constant slope relationship. 
E) shows no relationship between the two variables.

Question 15

-In the above figure,a negative relationship between x and y is shown in Figure

Accepted Answer

A) A. 
B) B. 
C) C. 
D) D. 
E) B and Figure C. 
A) A. 
B) B. 
C) C. 
D) D. 
E) B and Figure C.

Question 16

If whenever one variable increases,another variable also increases,then these two variables are ________ related.

Accepted Answer

A) positively 
B) negatively 
C) inversely 
D) cross-sectionally 
E) trend-line 
A) positively 
B) negatively 
C) inversely 
D) cross-sectionally 
E) trend-line

Question 17

-The table above shows how the number of books Katie buys each year depends on her income
a.What kind of relationship exists between Katie's income and the number of books she purchases?   
b.Plot the relationship between Katie's income and the number of books she purchases in the above figure.Measure income along the vertical axis and the number of books along the horizontal axis.Be sure to label the axes.
c.What is the slope of the relationship between $50,000 and $70,000 of income?
d.What is the slope of the relationship between $90,000 and $110,000 of income?
e.Comment on the similarity or dissimilarity of your answers to parts (c)and (d).

Accepted Answer

a.There is a positive relationship.When

Question 18

Jamie has enough money to buy either a Mountain Dew,or a Pepsi,or a bag of chips.He chooses to buy the Mountain Dew.The opportunity cost of the Mountain Dew is

Accepted Answer

A) the Pepsi and the bag of chips. 
B) the Pepsi or the bag of chips,whichever the highest-valued alternative forgone. 
C) the Mountain Dew. 
D) the Pepsi because it is a drink,as is the Mountain Dew. 
E) zero because he enjoys the Mountain Dew. 
A) the Pepsi and the bag of chips. 
B) the Pepsi or the bag of chips,whichever the highest-valued alternative forgone. 
C) the Mountain Dew. 
D) the Pepsi because it is a drink,as is the Mountain Dew. 
E) zero because he enjoys the Mountain Dew.

Question 19

If a curve rises and then falls,it has a

Accepted Answer

A) maximum. 
B) minimum. 
C) linear relationship. 
D) constant slope relationship. 
E) slope that is negative and then positive. 
A) maximum. 
B) minimum. 
C) linear relationship. 
D) constant slope relationship. 
E) slope that is negative and then positive.

Question 20

Mothers Against Drunk Drivers (MADD)campaigned to increase the legal penalties of drunk driving.This successful campaign ________ of drunk driving.

Accepted Answer

A) increased the marginal benefit 
B) decreased the marginal benefit 
C) increased the marginal cost 
D) decreased the marginal cost 
E) had no effect on the marginal cost or marginal benefit but did affect the total benefit 
A) increased the marginal benefit 
B) decreased the marginal benefit 
C) increased the marginal cost 
D) decreased the marginal cost 
E) had no effect on the marginal cost or marginal benefit but did affect the total benefit

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

-The figure above shows the price of a DVD player from 1996 to 2000. a.What type of graph is illustrated above? b.What is the trend in the price of a DVD player?

What do economists mean when they discuss "scarcity"?

A graph shows the average wage of various demographic groups in 2012.The kind of graph used to show these data would be a

-The figure above shows the relationship between the time a student spends studying and the student's GPA that semester.The slope of the relationship at point A ________ the slope at point B.

Trend refers to

-In the figure above,the relationship between the x variable and the y variable

Congress and the President passed a national health care policy.This is an example of

If a decision is made and it is the best choice for society,the decision is said to be

A cross-section graph

Which of the following is a macroeconomic topic?

What does the slope of a straight line equal? How is the slope of a curved line calculated?

The benefit of an activity is

If a curve falls and then rises,it

-In the above figure,a negative relationship between x and y is shown in Figure

If whenever one variable increases,another variable also increases,then these two variables are ________ related.

Jamie has enough money to buy either a Mountain Dew,or a Pepsi,or a bag of chips.He chooses to buy the Mountain Dew.The opportunity cost of the Mountain Dew is

If a curve rises and then falls,it has a

Mothers Against Drunk Drivers (MADD)campaigned to increase the legal penalties of drunk driving.This successful campaign ________ of drunk driving.

The Usand Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, education, and Health Care

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

Jobs and Unemployment

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters

Exam 1: Getting Started

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

-The figure above shows the price of a DVD player from 1996 to 2000. a.What type of graph is illustrated above? b.What is the trend in the price of a DVD player?

What do economists mean when they discuss "scarcity"?

A graph shows the average wage of various demographic groups in 2012.The kind of graph used to show these data would be a

-The figure above shows the relationship between the time a student spends studying and the student's GPA that semester.The slope of the relationship at point A ________ the slope at point B.

Trend refers to

-In the figure above,the relationship between the x variable and the y variable

Congress and the President passed a national health care policy.This is an example of

If a decision is made and it is the best choice for society,the decision is said to be

A cross-section graph

Which of the following is a macroeconomic topic?

What does the slope of a straight line equal? How is the slope of a curved line calculated?

The benefit of an activity is

If a curve falls and then rises,it

-In the above figure,a negative relationship between x and y is shown in Figure

If whenever one variable increases,another variable also increases,then these two variables are ________ related.

Jamie has enough money to buy either a Mountain Dew,or a Pepsi,or a bag of chips.He chooses to buy the Mountain Dew.The opportunity cost of the Mountain Dew is

If a curve rises and then falls,it has a

Mothers Against Drunk Drivers (MADD)campaigned to increase the legal penalties of drunk driving.This successful campaign ________ of drunk driving.

The Usand Global Economies

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Global Markets in Action

Externalities: Pollution, education, and Health Care

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition and Oligopoly

Gdp: a Measure of Total Production and Income

Jobs and Unemployment

The Cpi and the Cost of Living

Potential Gdp and Economic Growth

Money and the Monetary System

Aggregate Supply and Aggregate Demand

Fiscal Policy and Monetary Policy

Filters