Question 1

The slope of a straight line is

Accepted Answer

A)   constant.
B)   increasing.
C)   increasing if the line is upward sloping.
D)   increasing if the line is downward sloping.

Question 2

"How many iPhones will Apple sell this year?" is

Accepted Answer

A)   a microeconomic question.
B)   both a microeconomic and macroeconomic question.
C)   a macroeconomic question.
D)   neither a microeconomic nor a macroeconomic question.

Question 3

Which of the following is a variable?

Accepted Answer

A)   your GPA
B)   your hourly wage
C)   the price of gasoline
D)   All of the above are correct.

Question 4

According to the book,the general consensus is that our policymakers do not know what they are doing and are managing our economy ineffectively.

Accepted Answer

A) True 
 B)False

Question 5

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of

Accepted Answer

A)   Who consumes the products produced?
B)   What will be produced?
C)   Where will the products produced be consumed?
D)   How will we produce the products?

Question 6

It takes longer to set up a business in Canada than in Mozambique.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following is a macroeconomic question?

Accepted Answer

A)   Will a constitutional amendment to balance the federal budget lead to good economic policy?
B)   Should a firm decide to enter a particular market?
C)   Should the government prevent the merger of two large firms?
D)   All of the above are macroeconomic questions.

Question 8

In making stock buy or sell recommendations,most stock analysts use microeconomics

Accepted Answer

A)   to evaluate the merits of public policies.
B)   to understand markets and predict changes.
C)   to understand marginal changes in the macroeconomy.
D)   to make managerial and personal decisions.

Question 9

Richard runs a pizza delivery restaurant.List the three basic types of decisions economics studies and give an example from Richard's restaurant.

Accepted Answer

How much to produce? How many pizzas wil...

Question 10

Which of the following is a topic NOT directly under macroeconomics?

Accepted Answer

A)   inflation
B)   recessions
C)   why the price of crude oil is high
D)   All of the above are topics in macroeconomics.

Question 11

An example of people acting in their own self-interest would include

Accepted Answer

A)   individuals joining a car pool to go to work when tolls are imposed on congested highways.
B)   an adult, returning to college to pursue a degree to qualify for a promotion at work.
C)   a teenager earns an A grade average in school in order to use her parents' car.
D)   All of the above are examples of people acting in their own self-interest.

Question 12

Recall the Application about the incentives to buy hybrid vehicles to answer the following question(s) .
-According to the Application,which of the following decreased the incentive to buy hybrid vehicles?

Accepted Answer

A)   Purchases of hybrid vehicles qualified for a $3,400 subsidy from the federal government.
B)   Oil prices increased.
C)   Hybrid vehicles were more expensive than regular vehicles.
D)   Hybrid vehicles had lower emissions than the non-hybrid vehicles.

Question 13

Recall the Application about the government of Mexico City repainting highway lane lines to transform a 4-lane highway into a 6-lane highway to answer the following question(s).
-Using the midpoint formula,the percentage change of the number of iPhones from 1 to 2 should be the same if you instead go from 2 to 1.

Accepted Answer

A) True 
 B)False

Question 14

Economists employ economic models

Accepted Answer

A)   because reality is complex.
B)   to make the field more scientific.
C)   to make reality more complex.
D)   because economic theory is too easy without them.

Question 15

Markets do not determine the quantity of goods sold,only the price.

Accepted Answer

A) True 
 B)False

Question 16

According to the Texas Transportation Institute,U.S.consumers waste ________ gallons of gasoline and diesel fuel each year because of traffic congestion.

Accepted Answer

A)   11 million
B)   93 million
C)   2.3 billion
D)   12 trillion

Question 17

The worldwide recession in 2007 started from

Accepted Answer

A)   easy access to credit in the United States.
B)   booming housing prices that ultimately dropped.
C)   a large number of home purchasers who were unable to afford the homes.
D)   All of the above are correct.

Question 18

Would an economist consider clean air a scarce resource? Explain.

Accepted Answer

Yes,because the air has alternative uses...

Question 19

A student has a D grade average in her accounting course and a B grade average in her economics course.She decides to study an extra hour for her accounting exam and one less hour for her economics exam,hoping to improve her accounting grade while not hurting her economics grade.This is an example of

Accepted Answer

A)   thinking at the margin.
B)   using assumptions to simplify.
C)   ceteris paribus.
D)   caveat emptor.

Question 20

Which of the following is an example of a marginal question?

Accepted Answer

A)   How much will my chances of finding a job improve if I raise my GPA from a C to a C+ grade average?
B)   What is the average cost of a college education?
C)   How many students borrow money in order to attend college?
D)   What is the average income of a college graduate?

Exam 1: Introduction: What Is Economics

Recall the Application about the incentives to buy hybrid vehicles to answer the following question(s) . -According to the Application,which of the following decreased the incentive to buy hybrid vehicles?

Correct Answer
verified

According to the Texas Transportation Institute,U.S.consumers waste ________ gallons of gasoline and diesel fuel each year because of traffic congestion.

Correct Answer
verified

"How many iPhones will Apple sell this year?" is

Correct Answer
verified

Correct Answer
verified

Would an economist consider clean air a scarce resource? Explain.

Correct Answer
verified
Yes,because the air has alternative uses...
View Answer

The worldwide recession in 2007 started from

Correct Answer
verified

An example of people acting in their own self-interest would include

Correct Answer
verified

Which of the following is a topic NOT directly under macroeconomics?

Correct Answer
verified

According to the book,the general consensus is that our policymakers do not know what they are doing and are managing our economy ineffectively.

Correct Answer
verified

Richard runs a pizza delivery restaurant.List the three basic types of decisions economics studies and give an example from Richard's restaurant.

Correct Answer
verified
How much to produce? How many pizzas wil...
View Answer

Markets do not determine the quantity of goods sold,only the price.

Correct Answer
verified

Which of the following is a macroeconomic question?

Correct Answer
verified

Which of the following is a variable?

Correct Answer
verified

Correct Answer
verified

The slope of a straight line is

Correct Answer
verified

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of

Correct Answer
verified

Economists employ economic models

Correct Answer
verified

In making stock buy or sell recommendations,most stock analysts use microeconomics

Correct Answer
verified

It takes longer to set up a business in Canada than in Mozambique.

Correct Answer
verified

Which of the following is an example of a marginal question?

Correct Answer
verified

Exam 1: Introduction: What Is Economics

Recall the Application about the incentives to buy hybrid vehicles to answer the following question(s) . -According to the Application,which of the following decreased the incentive to buy hybrid vehicles?

Correct AnswerverifiedShow Answer

According to the Texas Transportation Institute,U.S.consumers waste ________ gallons of gasoline and diesel fuel each year because of traffic congestion.

Correct AnswerverifiedShow Answer

"How many iPhones will Apple sell this year?" is

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Would an economist consider clean air a scarce resource? Explain.

Correct AnswerverifiedYes,because the air has alternative uses...View AnswerShow Answer

The worldwide recession in 2007 started from

Correct AnswerverifiedShow Answer

An example of people acting in their own self-interest would include

Correct AnswerverifiedShow Answer

Which of the following is a topic NOT directly under macroeconomics?

Correct AnswerverifiedShow Answer

According to the book,the general consensus is that our policymakers do not know what they are doing and are managing our economy ineffectively.

Correct AnswerverifiedShow Answer

Richard runs a pizza delivery restaurant.List the three basic types of decisions economics studies and give an example from Richard's restaurant.

Correct AnswerverifiedHow much to produce? How many pizzas wil...View AnswerShow Answer

Markets do not determine the quantity of goods sold,only the price.

Correct AnswerverifiedShow Answer

Which of the following is a macroeconomic question?

Correct AnswerverifiedShow Answer

Which of the following is a variable?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

The slope of a straight line is

Correct AnswerverifiedShow Answer

Deciding how products of a society are distributed among the citizens in an economy answers the economic question of

Correct AnswerverifiedShow Answer

Economists employ economic models

Correct AnswerverifiedShow Answer

In making stock buy or sell recommendations,most stock analysts use microeconomics

Correct AnswerverifiedShow Answer

It takes longer to set up a business in Canada than in Mozambique.

Correct AnswerverifiedShow Answer

Which of the following is an example of a marginal question?

Correct AnswerverifiedShow Answer

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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Yes,because the air has alternative uses...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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How much to produce? How many pizzas wil...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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