Econ 2102 Exam 1 Questions With Complete Solutions
A ballet performance had many empty seats. This implies that
the Correct Answers Price of the tickets must have been above
the equilibrium price.
A consequence of the economic problem of scarcity is that
Correct Answers Choices have to be made about how resources
are used.
A production possibilities curve indicates the Correct Answers
Maximum combinations of goods and services an economy can
produce given its
available resources and technology.
A U.S. firm that outsources jobs would be Correct Answers
All of the choices are correct.
As of 2010, per capita GDP in the United States was
approximately Correct Answers $47,000.
Based on the information in Table 35.1, assume China and the
United States have the same amount of resources with which to
produce soybeans and computers and they produce no other
goods. The output of computers and soybeans would be greatest
if Correct Answers China specialized in producing soybeans,
and the United States specialized in producing computers.
Ceteris paribus, which of the following would generally cause
an increase in the
, demand curve for new automobiles? Correct Answers An
increase in consumers' income.
Comparative advantage in production is achieved by Correct
Answers Having a lower opportunity cost of producing a good
relative to that of other countries.
Describe the shape of the typical production possibilities curve
and explain why it has this shape Correct Answers The typical
production possibilities curve bends or bows outward. It has this
shape because opportunity costs increase as society produces
more of a good. In order to get more of a particular good,
increasing quantities of other goods must be given up. This is
known as the law of increasing opportunity costs
Explain the difference between a "change in quantity supplied"
and a "change in supply." Correct Answers A 'change in
quantity supplied' refers to a movement along the supply curve
because of a change in the price of the good itself. A 'change in
supply' refers to a shift of the supply curve. Factors that cause
the supply curve to shift include a change in technology, factor
costs, other goods, taxes and subsidies, expectations, and the
number of sellers.
If a country does not engage in trade with other countries, it is
known as Correct Answers A closed economy.
In economics, scarcity means that Correct Answers Society's
desires exceed resources available.
A ballet performance had many empty seats. This implies that
the Correct Answers Price of the tickets must have been above
the equilibrium price.
A consequence of the economic problem of scarcity is that
Correct Answers Choices have to be made about how resources
are used.
A production possibilities curve indicates the Correct Answers
Maximum combinations of goods and services an economy can
produce given its
available resources and technology.
A U.S. firm that outsources jobs would be Correct Answers
All of the choices are correct.
As of 2010, per capita GDP in the United States was
approximately Correct Answers $47,000.
Based on the information in Table 35.1, assume China and the
United States have the same amount of resources with which to
produce soybeans and computers and they produce no other
goods. The output of computers and soybeans would be greatest
if Correct Answers China specialized in producing soybeans,
and the United States specialized in producing computers.
Ceteris paribus, which of the following would generally cause
an increase in the
, demand curve for new automobiles? Correct Answers An
increase in consumers' income.
Comparative advantage in production is achieved by Correct
Answers Having a lower opportunity cost of producing a good
relative to that of other countries.
Describe the shape of the typical production possibilities curve
and explain why it has this shape Correct Answers The typical
production possibilities curve bends or bows outward. It has this
shape because opportunity costs increase as society produces
more of a good. In order to get more of a particular good,
increasing quantities of other goods must be given up. This is
known as the law of increasing opportunity costs
Explain the difference between a "change in quantity supplied"
and a "change in supply." Correct Answers A 'change in
quantity supplied' refers to a movement along the supply curve
because of a change in the price of the good itself. A 'change in
supply' refers to a shift of the supply curve. Factors that cause
the supply curve to shift include a change in technology, factor
costs, other goods, taxes and subsidies, expectations, and the
number of sellers.
If a country does not engage in trade with other countries, it is
known as Correct Answers A closed economy.
In economics, scarcity means that Correct Answers Society's
desires exceed resources available.
