ECON 190 – Quiz 10 – Chapter
12 with complete verified
solutions already graded A+
NAME:
1.General equilibrium theory studies:
A) The behavior of a single market in isolation
B) The simultaneous equilibrium of all markets in an economy
C) The dynamics of government budgetingD) The psychology of
individual consumers
Ans:
2.The 'invisible hand' in general equilibrium refers to:
A) A state-imposed balance of supply and demand
B) The automatic coordination of markets through prices
C) Centralized economic planning
D) Moral regulation of commerce
Ans:
3.The main architect of general equilibrium theory was:
A) Adam Smith
B) David Ricardo
C) Léon WalrasD) Alfred Marshall
Ans:
4.Walras’s theory aimed to show:
A) How profits are distributed among capitalists
This study source was downloaded by 1205308 from cliffsnotes.com on 02-10-2026 16:58:18 GMT -06:00
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, B) How all prices and quantities adjust simultaneously to clear
markets
C) How labour determines value
D) How government spending affects employment
Ans:
5.Walras’s concept of tâtonnement means:
A) A smooth and automatic adjustment of prices
B) Trial-and-error price adjustment toward equilibrium
C) An arbitrary setting of wages
D) Monetary policy regulation
Ans:
6.In Walras’s model, prices adjust until:
A) Aggregate demand equals aggregate supply in every market
B) Labour and capital receive equal incomes
C) Production costs fall to zero
D) Consumers maximize happiness independently of prices
Ans:
7.Walras assumed that markets operate under:
A) Monopoly power
B) Perfect competition
C) OligopolyD) Government regulation
Ans:
8.Which of the following is not an assumption of Walrasian
general equilibrium?
A) Perfect competition
B) Rational agents
C) Flexible pricesD) Government price control Ans:
9.The Walrasian system links:
A) Production and demand through interdependent markets
B) Politics and ethics
This study source was downloaded by 1205308 from cliffsnotes.com on 02-10-2026 16:58:18 GMT -06:00
https://www.cliffsnotes.com//study-notes/31796970
12 with complete verified
solutions already graded A+
NAME:
1.General equilibrium theory studies:
A) The behavior of a single market in isolation
B) The simultaneous equilibrium of all markets in an economy
C) The dynamics of government budgetingD) The psychology of
individual consumers
Ans:
2.The 'invisible hand' in general equilibrium refers to:
A) A state-imposed balance of supply and demand
B) The automatic coordination of markets through prices
C) Centralized economic planning
D) Moral regulation of commerce
Ans:
3.The main architect of general equilibrium theory was:
A) Adam Smith
B) David Ricardo
C) Léon WalrasD) Alfred Marshall
Ans:
4.Walras’s theory aimed to show:
A) How profits are distributed among capitalists
This study source was downloaded by 1205308 from cliffsnotes.com on 02-10-2026 16:58:18 GMT -06:00
https://www.cliffsnotes.com//study-notes/31796970
, B) How all prices and quantities adjust simultaneously to clear
markets
C) How labour determines value
D) How government spending affects employment
Ans:
5.Walras’s concept of tâtonnement means:
A) A smooth and automatic adjustment of prices
B) Trial-and-error price adjustment toward equilibrium
C) An arbitrary setting of wages
D) Monetary policy regulation
Ans:
6.In Walras’s model, prices adjust until:
A) Aggregate demand equals aggregate supply in every market
B) Labour and capital receive equal incomes
C) Production costs fall to zero
D) Consumers maximize happiness independently of prices
Ans:
7.Walras assumed that markets operate under:
A) Monopoly power
B) Perfect competition
C) OligopolyD) Government regulation
Ans:
8.Which of the following is not an assumption of Walrasian
general equilibrium?
A) Perfect competition
B) Rational agents
C) Flexible pricesD) Government price control Ans:
9.The Walrasian system links:
A) Production and demand through interdependent markets
B) Politics and ethics
This study source was downloaded by 1205308 from cliffsnotes.com on 02-10-2026 16:58:18 GMT -06:00
https://www.cliffsnotes.com//study-notes/31796970
