Quiz 2, exam one. UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS
What is the opportunity cost of moving from A to B ? 3 computers
A) 3 units of clothing
B) 9 units of clothing
C) 3 computers
D) 4 computers
In the Circular Flow example, the Consumption Goods According to their income
will be divided up among the Households _______ in a
Market based economy.
A) according to their wants and needs
B) equally
C) according to their income
D) none of the above
A shift in a PPC/PPF to the right (or outward) illustrates Growth
_____ which may be generated by better utilizing existing
resources (improved Technology) or by acquiring more
resources over time.
A) Inflation
B) Recession
C) Depression
D) Growth
, __________ efficiency is gaining the most output to maximize Economic
consumer utility with a given amount of input.
A) Productive
B) Industrial
C) Economic
D) Human
______________ is when a resource is not fully utilized, such as Under-employment
your when your Economics professor has to sweep the
streets as a primary job.
A) Under-employment
B) Unemployment
C) Inflation
D) Economic Efficiency
What is the opportunity cost of moving from B back to A 4 Units of clothing
?
A) 2 units of clothing
B) 4 units of clothing (correct)
C) 9 computers
D) 6 computers
Entrepreneurs are well compensated in a market Cost
economy if they provide high utility to consumers at a
relatively low ______ _ .
A) cost
B) utility
C) profit
D) rent
__________________ theory did not take into account the Thomas Malthus
advancement of technology and systems changes.
A) Thomas Malthus'
B) Robert Owen's
C) Karl Marx's
D) David Ricardo's
Adam Smith explained that the purpose of Government lIMITED
was to facilitate the market and, therefore, it should have
a very _____ role in an efficient market system.
A) strong
B) limited
C) high
D) all of the above
CORRECT ANSWERS
What is the opportunity cost of moving from A to B ? 3 computers
A) 3 units of clothing
B) 9 units of clothing
C) 3 computers
D) 4 computers
In the Circular Flow example, the Consumption Goods According to their income
will be divided up among the Households _______ in a
Market based economy.
A) according to their wants and needs
B) equally
C) according to their income
D) none of the above
A shift in a PPC/PPF to the right (or outward) illustrates Growth
_____ which may be generated by better utilizing existing
resources (improved Technology) or by acquiring more
resources over time.
A) Inflation
B) Recession
C) Depression
D) Growth
, __________ efficiency is gaining the most output to maximize Economic
consumer utility with a given amount of input.
A) Productive
B) Industrial
C) Economic
D) Human
______________ is when a resource is not fully utilized, such as Under-employment
your when your Economics professor has to sweep the
streets as a primary job.
A) Under-employment
B) Unemployment
C) Inflation
D) Economic Efficiency
What is the opportunity cost of moving from B back to A 4 Units of clothing
?
A) 2 units of clothing
B) 4 units of clothing (correct)
C) 9 computers
D) 6 computers
Entrepreneurs are well compensated in a market Cost
economy if they provide high utility to consumers at a
relatively low ______ _ .
A) cost
B) utility
C) profit
D) rent
__________________ theory did not take into account the Thomas Malthus
advancement of technology and systems changes.
A) Thomas Malthus'
B) Robert Owen's
C) Karl Marx's
D) David Ricardo's
Adam Smith explained that the purpose of Government lIMITED
was to facilitate the market and, therefore, it should have
a very _____ role in an efficient market system.
A) strong
B) limited
C) high
D) all of the above
