EXAM
Exam Solution
ms
Microeconomics Exam 1 (Chapters 1 2 3 6) 2026 A+ GR ms ms ms ms ms ms ms ms ms ms
ADE ASSURED COMPLETE SOLUTIONS AND VERIFIED A
ms ms ms ms ms ms
NSWERS (58E36) ms
QUESTION 1 ms
Marginal Anaylsis ms
ANSWER
Comparisons of marginal benefits and marginal costs, usually for decisions making
ms ms ms ms ms ms ms ms ms ms
QUESTION 2 ms
Economic wants exceed society's...
ms ms ms
ANSWER
Productive Capacity ms
QUESTION 3 ms
Economic Perspective ms
ANSWER
The way economists view the world
ms ms ms ms ms
QUESTION 4 ms
Economic Perspective factors
ms ms
ANSWER
Scarcity and Choice, Opportunity Cost, Purposeful Behavior to increase utility, marginal analysis
ms ms ms ms ms ms ms ms ms ms ms
,QUESTION 5 ms
Scarcity and Choice ms ms
ANSWER
Resources are scarce, since resources are scarce choices must be made, opportunity costs (cost to ev
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
ery choice)
ms
QUESTION 6 ms
Is there such thing as a free lunch
ms ms ms ms ms ms ms
ANSWER
No, someone had to pay for the lunch
ms ms ms ms ms ms ms
QUESTION 7 ms
Opportunity Costs ms
ANSWER
Cost to every choice everyones costs are different; To obtain more of one thing, society forgoes the
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
opportunity of getting the next best thing; ex: I had to give up my Tuesday nights for a six to nine
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
class
QUESTION 8 ms
Purposeful Behavior ms
ANSWER
Work under Rational Self-
ms ms ms
interest, individuals and utility, firms and profit, every decision has a desired outcome
ms ms ms ms ms ms ms ms ms ms ms ms ms
QUESTION 9 ms
Rational Self-interest ms
ANSWER
Decisions that will make them better off not worse off; goal is maximize utility or satisfaction; not n
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
ecessarily selfish ms
QUESTION 10 ms
Firms and Profit ms ms
, ANSWER
Firms are rational when they make choices about which products to produce in an attempt to maxi
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
mize their profits
ms ms
QUESTION 11 ms
Desired outcome ms
ANSWER
People make decisions with some sort of desired outcome or else they wouldn't have made the deci
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
sion in the first place
ms ms ms ms
QUESTION 12 ms
Marginal Means ms
ANSWER
Extra
QUESTION 13 ms
If Marginal Benefit is greater than the marginal cost then will choose to...?
ms ms ms ms ms ms ms ms ms ms ms ms
ANSWER
Do something, since it is worth it
ms ms ms ms ms ms
QUESTION 14 ms
Scientific Method ms
ANSWER
Observe- Formutlate Hypothesis- test the hypothesis- Accept, reject, or modify hypothesis-
ms ms ms ms ms ms ms ms ms ms
Continue to test hypotheses
ms ms ms ms
QUESTION 15 ms
Economic Principles ms
ANSWER
Are generalizations about economic behavior that are true for the average person
ms ms ms ms ms ms ms ms ms ms ms
QUESTION 16 ms
Exam Solution
ms
Microeconomics Exam 1 (Chapters 1 2 3 6) 2026 A+ GR ms ms ms ms ms ms ms ms ms ms
ADE ASSURED COMPLETE SOLUTIONS AND VERIFIED A
ms ms ms ms ms ms
NSWERS (58E36) ms
QUESTION 1 ms
Marginal Anaylsis ms
ANSWER
Comparisons of marginal benefits and marginal costs, usually for decisions making
ms ms ms ms ms ms ms ms ms ms
QUESTION 2 ms
Economic wants exceed society's...
ms ms ms
ANSWER
Productive Capacity ms
QUESTION 3 ms
Economic Perspective ms
ANSWER
The way economists view the world
ms ms ms ms ms
QUESTION 4 ms
Economic Perspective factors
ms ms
ANSWER
Scarcity and Choice, Opportunity Cost, Purposeful Behavior to increase utility, marginal analysis
ms ms ms ms ms ms ms ms ms ms ms
,QUESTION 5 ms
Scarcity and Choice ms ms
ANSWER
Resources are scarce, since resources are scarce choices must be made, opportunity costs (cost to ev
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
ery choice)
ms
QUESTION 6 ms
Is there such thing as a free lunch
ms ms ms ms ms ms ms
ANSWER
No, someone had to pay for the lunch
ms ms ms ms ms ms ms
QUESTION 7 ms
Opportunity Costs ms
ANSWER
Cost to every choice everyones costs are different; To obtain more of one thing, society forgoes the
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
opportunity of getting the next best thing; ex: I had to give up my Tuesday nights for a six to nine
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
class
QUESTION 8 ms
Purposeful Behavior ms
ANSWER
Work under Rational Self-
ms ms ms
interest, individuals and utility, firms and profit, every decision has a desired outcome
ms ms ms ms ms ms ms ms ms ms ms ms ms
QUESTION 9 ms
Rational Self-interest ms
ANSWER
Decisions that will make them better off not worse off; goal is maximize utility or satisfaction; not n
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
ecessarily selfish ms
QUESTION 10 ms
Firms and Profit ms ms
, ANSWER
Firms are rational when they make choices about which products to produce in an attempt to maxi
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
mize their profits
ms ms
QUESTION 11 ms
Desired outcome ms
ANSWER
People make decisions with some sort of desired outcome or else they wouldn't have made the deci
ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms ms
sion in the first place
ms ms ms ms
QUESTION 12 ms
Marginal Means ms
ANSWER
Extra
QUESTION 13 ms
If Marginal Benefit is greater than the marginal cost then will choose to...?
ms ms ms ms ms ms ms ms ms ms ms ms
ANSWER
Do something, since it is worth it
ms ms ms ms ms ms
QUESTION 14 ms
Scientific Method ms
ANSWER
Observe- Formutlate Hypothesis- test the hypothesis- Accept, reject, or modify hypothesis-
ms ms ms ms ms ms ms ms ms ms
Continue to test hypotheses
ms ms ms ms
QUESTION 15 ms
Economic Principles ms
ANSWER
Are generalizations about economic behavior that are true for the average person
ms ms ms ms ms ms ms ms ms ms ms
QUESTION 16 ms
