1
PUP3002 Exam 1 Questions with Answers
(100% Correct Answers)
What focuses on what the state of the world should be?
Idealistic criteria
Normative criteria
Positive criteria Answer: Normative criteria
If the beneficiaries of a proposed alternative could hypothetically compensate
those who are likely to be made worse off, then we may obtain a
Pareto improvement
demand-side improvement
Kaldor-Hicks improvement Answer: Kaldor-Hicks improvement
A(n) _____ is any institution or operation wherein individuals can trade goods,
services, or information.
, 2
economy
government
market Answer: market
Which of the following is a determinant of demand?
Group of answer choices
The price of a good
Productive capacity
The buyer's income Answer: The buyer's income
What type of good's use or consumption will limit or eliminate the supply of
that specific good to others?
Group of answer choices
An excludable good
A club good
PUP3002 Exam 1 Questions with Answers
(100% Correct Answers)
What focuses on what the state of the world should be?
Idealistic criteria
Normative criteria
Positive criteria Answer: Normative criteria
If the beneficiaries of a proposed alternative could hypothetically compensate
those who are likely to be made worse off, then we may obtain a
Pareto improvement
demand-side improvement
Kaldor-Hicks improvement Answer: Kaldor-Hicks improvement
A(n) _____ is any institution or operation wherein individuals can trade goods,
services, or information.
, 2
economy
government
market Answer: market
Which of the following is a determinant of demand?
Group of answer choices
The price of a good
Productive capacity
The buyer's income Answer: The buyer's income
What type of good's use or consumption will limit or eliminate the supply of
that specific good to others?
Group of answer choices
An excludable good
A club good
