TEST BANK INTERMEDIATE MICROECONOMICS
NINTH EDITION HAL VARIAN THEODORE
BERGSTROM JAMES WEST ANSWERED
WORKOUTS COMPLETE SOLUTIONS 2026
◉ Macroeconomics deals with ________ while microeconomics deals
with ________. Answer: economywide choices; choices of individuals
◉ One topic of study for a microeconomist would be the. Answer:
effects of a gasoline price increase on consumer behavior.
◉ The study of an individual's choice about what type of computer to
buy is a subject of. Answer: microeconomics
◉ In a market system, ________ provide signals about whether
resources are relatively scarce or abundant. Answer: prices
◉ The United States is best known as a. Answer: mixed economic
system.
◉ If people act as if they systematically pursue their own self-interest,
then they will most likely. Answer: respond predictably to a given
incentive
,◉ Economists assume people behave rationally, which means that
people. Answer: do not intentionally make decisions that make
themselves worse off.
◉ Sara looks into her closet and discovers a pair of like-new shoes she
no longer wears because they are out of fashion. From the economist's
perspective, was Sara behaving rationally when she bought those shoes?.
Answer: Yes, Sara didn't buy those shoes when they were out of fashion.
◉ When people donate money to a charity, they behave. Answer:
rationally if the act gives them satisfaction
◉ Jose is rational if he. Answer: does not intentionally make decisions
that would leave him worse off
◉ The assumption underlying economic theory is that. Answer: choices
are affected by incentives.
◉ Economists develop models to. Answer: help us understand economic
phenomena in the real world
◉ An economic model should capture. Answer: the essential
relationships that help to analyze the problem
, ◉ Which of the following is an example of an application of the ceteris
paribus assumption?. Answer: an analysis of how price changes affect
how much of a good people will purchase when all other factors are held
constant
◉ The assumption that "other things are constant" is also known as the.
Answer: ceteris paribus assumption.
◉ Why is economics called an empirical science?. Answer: because
economics relies on real-world data to determine the usefulness of a
model
◉ A difference between biology and economics is that. Answer:
biologists often use laboratory experiments and economists do less often
◉ "Ceteris paribus" assumption means. Answer: that nothing else
changes except the variables under consideration.
◉ The combination of psychology and economics to determine
individual decision making is known as. Answer: behavioral economics.
◉ Behavioral economics deals with. Answer: bounded rationality.
NINTH EDITION HAL VARIAN THEODORE
BERGSTROM JAMES WEST ANSWERED
WORKOUTS COMPLETE SOLUTIONS 2026
◉ Macroeconomics deals with ________ while microeconomics deals
with ________. Answer: economywide choices; choices of individuals
◉ One topic of study for a microeconomist would be the. Answer:
effects of a gasoline price increase on consumer behavior.
◉ The study of an individual's choice about what type of computer to
buy is a subject of. Answer: microeconomics
◉ In a market system, ________ provide signals about whether
resources are relatively scarce or abundant. Answer: prices
◉ The United States is best known as a. Answer: mixed economic
system.
◉ If people act as if they systematically pursue their own self-interest,
then they will most likely. Answer: respond predictably to a given
incentive
,◉ Economists assume people behave rationally, which means that
people. Answer: do not intentionally make decisions that make
themselves worse off.
◉ Sara looks into her closet and discovers a pair of like-new shoes she
no longer wears because they are out of fashion. From the economist's
perspective, was Sara behaving rationally when she bought those shoes?.
Answer: Yes, Sara didn't buy those shoes when they were out of fashion.
◉ When people donate money to a charity, they behave. Answer:
rationally if the act gives them satisfaction
◉ Jose is rational if he. Answer: does not intentionally make decisions
that would leave him worse off
◉ The assumption underlying economic theory is that. Answer: choices
are affected by incentives.
◉ Economists develop models to. Answer: help us understand economic
phenomena in the real world
◉ An economic model should capture. Answer: the essential
relationships that help to analyze the problem
, ◉ Which of the following is an example of an application of the ceteris
paribus assumption?. Answer: an analysis of how price changes affect
how much of a good people will purchase when all other factors are held
constant
◉ The assumption that "other things are constant" is also known as the.
Answer: ceteris paribus assumption.
◉ Why is economics called an empirical science?. Answer: because
economics relies on real-world data to determine the usefulness of a
model
◉ A difference between biology and economics is that. Answer:
biologists often use laboratory experiments and economists do less often
◉ "Ceteris paribus" assumption means. Answer: that nothing else
changes except the variables under consideration.
◉ The combination of psychology and economics to determine
individual decision making is known as. Answer: behavioral economics.
◉ Behavioral economics deals with. Answer: bounded rationality.
