AGEC Final Exam questions well
answered to pass graded A+
Substitution of a product for another because the price of the former has declined or increased.
- correct answer ✔✔Substitution effect
The connection or locus of all tangency points between budget lines and indifference curves. -
correct answer ✔✔Price consumption curve
A measure of the response of consumption of a good or service to changes in the price of
another good or service. - correct answer ✔✔Cross-Price Elasticity of Demand
Captures the individual demand schedules of consumers participating in the market. - correct
answer ✔✔Demand curve
Personal income after the payment of tax obligations. - correct answer ✔✔Disposable Income
A graph of the locus of consumption bundles that provide a consumer a given level of
satisfaction. - correct answer ✔✔Indifference/Isoutility curve
Goods A and B are __________ if the cross-price elasticity of demand is positive. - correct
answer ✔✔Substitutes
As income of a consumer increases, the percentage of income spent on food decreases if all
other factors remain constant. - correct answer ✔✔Engle's Law
, A branch of economics that focuses on determining what should be issues; assigns specific
values with specific goals or objectives. - correct answer ✔✔Normative
Can be decomposed into natural and biological resources, human resources and manufactured
resources. - correct answer ✔✔Scarce resources
The schedule that shows how many units of a good the consumer will purchase at different
levels of income, all other things constant. - correct answer ✔✔Engle's curve
Expenditures by consumers for food, non-food, nondurable goods, durable goods and services. -
correct answer ✔✔Consumption
Reflects the pattern of movements in the economy's real output, interest rates, or
unemployment. - correct answer ✔✔Business cycle
Rise in the general price level resulting from businesses and unions raising their prices and wage
rates. - correct answer ✔✔Cost push inflation
Indicators of changes in economic activity about one or two quarters before they occur. -
correct answer ✔✔Leading indicators
Sum of outstanding federal government securities and other claims on the federal government.
- correct answer ✔✔National debt
Unemployment of labor associated with adverse trends in the business cycle. - correct answer
✔✔Cyclical unemployment
Consumer expenditures, business investment, government spending and net exports. - correct
answer ✔✔Gross domestic product
answered to pass graded A+
Substitution of a product for another because the price of the former has declined or increased.
- correct answer ✔✔Substitution effect
The connection or locus of all tangency points between budget lines and indifference curves. -
correct answer ✔✔Price consumption curve
A measure of the response of consumption of a good or service to changes in the price of
another good or service. - correct answer ✔✔Cross-Price Elasticity of Demand
Captures the individual demand schedules of consumers participating in the market. - correct
answer ✔✔Demand curve
Personal income after the payment of tax obligations. - correct answer ✔✔Disposable Income
A graph of the locus of consumption bundles that provide a consumer a given level of
satisfaction. - correct answer ✔✔Indifference/Isoutility curve
Goods A and B are __________ if the cross-price elasticity of demand is positive. - correct
answer ✔✔Substitutes
As income of a consumer increases, the percentage of income spent on food decreases if all
other factors remain constant. - correct answer ✔✔Engle's Law
, A branch of economics that focuses on determining what should be issues; assigns specific
values with specific goals or objectives. - correct answer ✔✔Normative
Can be decomposed into natural and biological resources, human resources and manufactured
resources. - correct answer ✔✔Scarce resources
The schedule that shows how many units of a good the consumer will purchase at different
levels of income, all other things constant. - correct answer ✔✔Engle's curve
Expenditures by consumers for food, non-food, nondurable goods, durable goods and services. -
correct answer ✔✔Consumption
Reflects the pattern of movements in the economy's real output, interest rates, or
unemployment. - correct answer ✔✔Business cycle
Rise in the general price level resulting from businesses and unions raising their prices and wage
rates. - correct answer ✔✔Cost push inflation
Indicators of changes in economic activity about one or two quarters before they occur. -
correct answer ✔✔Leading indicators
Sum of outstanding federal government securities and other claims on the federal government.
- correct answer ✔✔National debt
Unemployment of labor associated with adverse trends in the business cycle. - correct answer
✔✔Cyclical unemployment
Consumer expenditures, business investment, government spending and net exports. - correct
answer ✔✔Gross domestic product
