1|Page
ECON 202 HAYES OLE MISS 2025/2026 MIDTERM
EXAM CURRENTLY COMPLETE TESTING
QUESTIONS AND DETAILED CORRECT ANSWERS
(VERIFIED) FOR GUARANTEED PASS TOP-RATED
A+.
ECON 202
Ace your Econ 202 midterm for Professor Hayes at Ole Miss with this
targeted study guide designed to clarify complex macroeconomic
principles. This resource efficiently distills key concepts—from supply
and demand to fiscal policy—into a clear, actionable review complete
with practice questions. Maximize your study time and walk into your
exam with the confidence to secure a top score.
For economists, the word "utility" means ...... ANSWER
....... pleasure or satisfaction.
A person should consume more of something when its
marginal ...... ANSWER ....... benefit exceeds its
marginal cost.
Macroeconomics explains the behavior of individual
households and business firms; microeconomics is concerned
with the behavior of aggregates or the economy as a whole.
...... ANSWER ....... false
,2|Page
The production possibilities curve shows various
combinations of two products that an economy can produce
when achieving full employment. ...... ANSWER .......
true
Choices entail marginal costs because resources are scarce.
...... ANSWER ....... true
In deciding whether to study for an economics quiz or go to a
concert, one is confronted by the idea(s) of ...... ANSWER
....... scarcity and opportunity costs.
The budget line shows the various incomes that an individual
can earn from different jobs. ...... ANSWER ....... false
The study of economics is not useful for consumers, because
economic analysis focuses only on businesses and the
economy. ...... ANSWER ....... false
An increase in immigration would shift the production
possibilities curve to the left. ...... ANSWER ....... false
Normative statements are expressions of facts. ......
ANSWER ....... false
,3|Page
The Latin term "ceteris paribus" means ...... ANSWER
....... other things equal
Economic resources are also called ...... ANSWER .......
factors of production
A production possibilities curve illustrates ...... ANSWER
....... scarcity
The negative slope of the production possibilities curve is a
graphical way of indicating that ...... ANSWER ....... to
produce more of one product, we must do with less of
another.
If an economy is operating inside its production possibilities
curve for consumer goods and capital goods, it ......
ANSWER ....... can produce more of both consumer
goods and capital goods by using resources that are
currently idle.
Broadly defined, competition involves ...... ANSWER
....... independently acting buyers and sellers and freedom
to enter or leave markets.
, 4|Page
Productive efficiency refers to ...... ANSWER ....... the
use of the least-cost method of production.
A price floor in a competitive market will result in persistent
shortages of a product. ...... ANSWER ....... false
In moving along a demand curve, which of the following is
not held constant? ...... ANSWER ....... the price of the
product itself.
At the point where the demand and supply curves for a
product intersect, ...... ANSWER ....... the quantity that
consumers want to purchase and the amount producers
choose to sell are the same.
If there is a shortage of product X, and the price is free to
change, ...... ANSWER ....... the price of the product
will rise.
The equilibrium price and quantity in a market usually
produce allocative efficiency because ...... ANSWER .......
marginal benefit and marginal cost are equal at that point.
ECON 202 HAYES OLE MISS 2025/2026 MIDTERM
EXAM CURRENTLY COMPLETE TESTING
QUESTIONS AND DETAILED CORRECT ANSWERS
(VERIFIED) FOR GUARANTEED PASS TOP-RATED
A+.
ECON 202
Ace your Econ 202 midterm for Professor Hayes at Ole Miss with this
targeted study guide designed to clarify complex macroeconomic
principles. This resource efficiently distills key concepts—from supply
and demand to fiscal policy—into a clear, actionable review complete
with practice questions. Maximize your study time and walk into your
exam with the confidence to secure a top score.
For economists, the word "utility" means ...... ANSWER
....... pleasure or satisfaction.
A person should consume more of something when its
marginal ...... ANSWER ....... benefit exceeds its
marginal cost.
Macroeconomics explains the behavior of individual
households and business firms; microeconomics is concerned
with the behavior of aggregates or the economy as a whole.
...... ANSWER ....... false
,2|Page
The production possibilities curve shows various
combinations of two products that an economy can produce
when achieving full employment. ...... ANSWER .......
true
Choices entail marginal costs because resources are scarce.
...... ANSWER ....... true
In deciding whether to study for an economics quiz or go to a
concert, one is confronted by the idea(s) of ...... ANSWER
....... scarcity and opportunity costs.
The budget line shows the various incomes that an individual
can earn from different jobs. ...... ANSWER ....... false
The study of economics is not useful for consumers, because
economic analysis focuses only on businesses and the
economy. ...... ANSWER ....... false
An increase in immigration would shift the production
possibilities curve to the left. ...... ANSWER ....... false
Normative statements are expressions of facts. ......
ANSWER ....... false
,3|Page
The Latin term "ceteris paribus" means ...... ANSWER
....... other things equal
Economic resources are also called ...... ANSWER .......
factors of production
A production possibilities curve illustrates ...... ANSWER
....... scarcity
The negative slope of the production possibilities curve is a
graphical way of indicating that ...... ANSWER ....... to
produce more of one product, we must do with less of
another.
If an economy is operating inside its production possibilities
curve for consumer goods and capital goods, it ......
ANSWER ....... can produce more of both consumer
goods and capital goods by using resources that are
currently idle.
Broadly defined, competition involves ...... ANSWER
....... independently acting buyers and sellers and freedom
to enter or leave markets.
, 4|Page
Productive efficiency refers to ...... ANSWER ....... the
use of the least-cost method of production.
A price floor in a competitive market will result in persistent
shortages of a product. ...... ANSWER ....... false
In moving along a demand curve, which of the following is
not held constant? ...... ANSWER ....... the price of the
product itself.
At the point where the demand and supply curves for a
product intersect, ...... ANSWER ....... the quantity that
consumers want to purchase and the amount producers
choose to sell are the same.
If there is a shortage of product X, and the price is free to
change, ...... ANSWER ....... the price of the product
will rise.
The equilibrium price and quantity in a market usually
produce allocative efficiency because ...... ANSWER .......
marginal benefit and marginal cost are equal at that point.
