ECON Exam #1 Questions With Correct
Answers
Opportunity Cost - CORRECT ANSWER✔✔-the cost of a choice is the
| | | | | | | | | | |
value of the opportunities lost
| | | |
Marginal Analysis - CORRECT ANSWER✔✔-An examination of the
| | | | | | | |
additional benefits of an activity compared to the additional costs of
| | | | | | | | | | |
that activity
|
Microeconomics - CORRECT ANSWER✔✔-The practice of | | | | |
household/firm economics
| |
Macroeconomics - CORRECT ANSWER✔✔-The practice of large-scale
| | | | | | |
economics
Quantity Demanded - CORRECT ANSWER✔✔-describes the quantity
| | | | | | |
that buyers desire to purchase given the price and all other factors that
| | | | | | | | | | | | |
affect purchase decisions
| |
Demand - CORRECT ANSWER✔✔-describes the relationship between
| | | | | | |
price and quantity demanded over some time period
| | | | | | |
, Reading Demand curves horizontally - CORRECT ANSWER✔✔-Move
| | | | | | |
horizontally to the demand curve to find the highest Qd consumers
| | | | | | | | | | |
would be willing to purchase at that price
| | | | | | |
Reading Demand curves vertically - CORRECT ANSWER✔✔-Move
| | | | | | |
vertically to the demand line to find the highest price that consumers
| | | | | | | | | | | |
would be willing to pay to purchase that quantity
| | | | | | | |
Consumer Surplus - CORRECT ANSWER✔✔-Measures differences
| | | | | |
between price paid and max. willingness-to-pay for each unit traded,
| | | | | | | | | |
the area below Demand and above the price
| | | | | | |
Price changes cause movement along Demand - CORRECT ANSWER✔✔-
| | | | | | | |
Price changes DO NOT change demand and DO NOT shift demand
| | | | | | | | | | |
curves
1 Shift Factors of Demand - CORRECT ANSWER✔✔-1 Changes in tastes
| | | | | | | | | |
2 Shift Factors of Demand - CORRECT ANSWER✔✔-2 Changes in income
| | | | | | | | | | |
(normal vs. inferior)
| |
3 Shift Factors of Demand - CORRECT ANSWER✔✔-3 Changes in
| | | | | | | | | |
population
Answers
Opportunity Cost - CORRECT ANSWER✔✔-the cost of a choice is the
| | | | | | | | | | |
value of the opportunities lost
| | | |
Marginal Analysis - CORRECT ANSWER✔✔-An examination of the
| | | | | | | |
additional benefits of an activity compared to the additional costs of
| | | | | | | | | | |
that activity
|
Microeconomics - CORRECT ANSWER✔✔-The practice of | | | | |
household/firm economics
| |
Macroeconomics - CORRECT ANSWER✔✔-The practice of large-scale
| | | | | | |
economics
Quantity Demanded - CORRECT ANSWER✔✔-describes the quantity
| | | | | | |
that buyers desire to purchase given the price and all other factors that
| | | | | | | | | | | | |
affect purchase decisions
| |
Demand - CORRECT ANSWER✔✔-describes the relationship between
| | | | | | |
price and quantity demanded over some time period
| | | | | | |
, Reading Demand curves horizontally - CORRECT ANSWER✔✔-Move
| | | | | | |
horizontally to the demand curve to find the highest Qd consumers
| | | | | | | | | | |
would be willing to purchase at that price
| | | | | | |
Reading Demand curves vertically - CORRECT ANSWER✔✔-Move
| | | | | | |
vertically to the demand line to find the highest price that consumers
| | | | | | | | | | | |
would be willing to pay to purchase that quantity
| | | | | | | |
Consumer Surplus - CORRECT ANSWER✔✔-Measures differences
| | | | | |
between price paid and max. willingness-to-pay for each unit traded,
| | | | | | | | | |
the area below Demand and above the price
| | | | | | |
Price changes cause movement along Demand - CORRECT ANSWER✔✔-
| | | | | | | |
Price changes DO NOT change demand and DO NOT shift demand
| | | | | | | | | | |
curves
1 Shift Factors of Demand - CORRECT ANSWER✔✔-1 Changes in tastes
| | | | | | | | | |
2 Shift Factors of Demand - CORRECT ANSWER✔✔-2 Changes in income
| | | | | | | | | | |
(normal vs. inferior)
| |
3 Shift Factors of Demand - CORRECT ANSWER✔✔-3 Changes in
| | | | | | | | | |
population
