Exam prep · Year 1 McGill style · intro level
9 problems
micro, macro, s
tatistics
McGill
Year 1 practice Full solutions
every step worked o
ut
Intro micro, intro macro and intro statistics: supply and demand, costs, GDP,
money, probability and tests.
Unofficial practice based on public course descriptions for this level. Not affiliated with or
endorsed by McGill University.
, Micro · Problems 1 to 3 McGill · Year 1 style
Markets, production and costs
Problem 1 Problem 2 Problem 3
Demand shift Hiring workers Cost curves
Qd = 80 − 2P + 0.5M Workers 0 to 5 produce 0, 10, 24, 36, 44, Fixed cost $100. Variable cost 150, 260,
Qs = −20 + 2P 50 units. Price $5, wage $45. 420 at q = 10, 20, 30.
1. Equilibrium if income M = 40? 1. Marginal product of each worker? 1. ATC and AVC at q = 20?
2. Equilibrium if M = 60? 2. Value of each MP? 2. MC from 10 to 20 and from 20 to 30?
3. Normal or inferior good? 3. How many workers to hire?
Unofficial practice · Solutions on the next page · McGill Year 1 style · 02
9 problems
micro, macro, s
tatistics
McGill
Year 1 practice Full solutions
every step worked o
ut
Intro micro, intro macro and intro statistics: supply and demand, costs, GDP,
money, probability and tests.
Unofficial practice based on public course descriptions for this level. Not affiliated with or
endorsed by McGill University.
, Micro · Problems 1 to 3 McGill · Year 1 style
Markets, production and costs
Problem 1 Problem 2 Problem 3
Demand shift Hiring workers Cost curves
Qd = 80 − 2P + 0.5M Workers 0 to 5 produce 0, 10, 24, 36, 44, Fixed cost $100. Variable cost 150, 260,
Qs = −20 + 2P 50 units. Price $5, wage $45. 420 at q = 10, 20, 30.
1. Equilibrium if income M = 40? 1. Marginal product of each worker? 1. ATC and AVC at q = 20?
2. Equilibrium if M = 60? 2. Value of each MP? 2. MC from 10 to 20 and from 20 to 30?
3. Normal or inferior good? 3. How many workers to hire?
Unofficial practice · Solutions on the next page · McGill Year 1 style · 02
