Microeconomics Final milestone Exam.Complete solution

Microeconomics Final milestone

You passed this Milestone
24 questions were answered correctly.
1 question was answered incorrectly.
1

What is the study of the behavior of consumers and businesses
holistically across an economy?


Social science

Microeconomics

Macroeconomics

Civics
CONCEPT
What is Economics?
2

Which indicators show change at the same time as the economy and
thus give a sense of where the economy is in relation to the
business cycle?


Leading indicators

Lagging indicators

Coincident indicators

All of the given answer choices are correct
CONCEPT
Coincident Indicators
3

Which example below represents a fixed input?

, 
Raw materials for construction

Hourly employees

Utility bills

Office space being rented
CONCEPT
Production Function and Constraints
4



If the goal is to maximize profit, at which point on the graph would a
firm’s output be optimized?


Point 2

Point 3

Point 1

Point 4
CONCEPT
Output Optimization: Marginal Revenue / Marginal Cost
5

What is contingent valuation as it relates to alternative methods for
estimating the value of environmental regulations?


Multiplying the amount of people who are willing to pay for trips to natural resources by
the number of citizens to construct an estimate on the value of environmental goods

Comparing how much it costs to clean waste sites to the cost of regulation

Linking the amount of pollution to healthcare costs to estimate the cost of regulation