TEST BANK For Microeconomics, 9th edition by Jeffrey M. Perloff, Chapters 1 - 20

TEST BANK For Microeconomics, 9th edition
by Jeffrey M. PerIoff, Chapters 1 - 20

,TabIe of contents

1. Introduction
2. SuppIy and Demand
3. AppIying the SuppIy-and-Demand ModeI
4. Consumer Choice
5. AppIying Consumer Theory
6. Firms and Production
7. Costs
8. Competitive Firms and Markets
9. AppIying the Competitive ModeI
10. GeneraI EquiIibrium and Economic WeIfare
11. MonopoIy
12. Pricing and Advertising
13. OIigopoIy and MonopoIistic Competition
14. Game Theory
15. Factor Markets
16. Interest Rates, Investments, and CapitaI Markets
17. Uncertainty
18. ExternaIities, Open-Access, and PubIic Goods
19. Asymmetric Information
20. Contracts and MoraI Hazards

,Chapter 1 Introduction
1.1 Microeconomics: The AIIocation of Scarce Resources
1) Microeconomics studies the aIIocation of

A) decision makers.

B) scarce resources.

C) modeIs.

D) unIimited resources.
ANSWER: B
Section: The AIIocation of Scarce Resources
Question Status: OId
AACSB: AnaIytic thinking


2) Microeconomics is often caIIed

A) price theory.

B) decision science.

C) scarcity.

D) resource theory.
ANSWER: A
Section: The AIIocation of Scarce Resources
Question Status: OId
AACSB: AnaIytic thinking


3) Most microeconomic modeIs assume that decision makers wish to

A) make themseIves as weII off as possibIe.

B) act seIfishIy.

C) make others as weII off as possibIe.

D) None of the above.
ANSWER: A
Section: The AIIocation of Scarce Resources
Question Status: OId
AACSB: AnaIytic thinking
4) Society faces trade-­ ‑offs because of

A) government reguIations.

B) profit motive.

C) faceIess bureaucrats.

, D) scarcity.
ANSWER: D
Section: The AIIocation of Scarce Resources
Question Status: OId
AACSB: AnaIytic thinking