Page number 1
Test Bank for Essentials of Economics, 8th Edition
by N. Gregory Mankiw | Complete Questions &
Answers
1
,Page 1
1. The English word that comes from the Greek word for "one who manages a household" is
a. market. Page number 2
b. consumer.
c. producer.
d. economy.
ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 001.01.0 - MC - MANK08
2. The word “economy” comes from the Greek word oikonomos, which means
a. “environment.”
b. “production.”
c. “one who manages a household.”
d. “one who makes decisions.”
ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 002.01.0 - MC - MANK08
3. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 003.01.0 - MC - MANK08
4. In considering how to allocate its scarce resources among its various members, a household
considers
Page 1
2
, Page number 3
3
, Page 2
a. each member’s abilities.
b. each member’s efforts. Page number 4
c. each member’s desires.
d. All of the above are correct.
ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 004.01.0 - MC - MANK08
5. Fundamentally, economics deals with
a. scarcity.
b. money.
c. poverty.
d. banking.
ANSWER: a
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 005.01.0 - MC - MANK08
6. Which of the following is correct?
a. The word economy comes from the Greek word for “rational thinker.”
b. Economists study the management of scarce resources.
c. Because economists believe that people pursue their best interests, they are not interested
in
how people interact.
d. All of the above are correct.
ANSWER: b
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.024 - Classify the different functions an economist may
serve.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 006.01.0 - MC - MANK08
Page 2
4
Test Bank for Essentials of Economics, 8th Edition
by N. Gregory Mankiw | Complete Questions &
Answers
1
,Page 1
1. The English word that comes from the Greek word for "one who manages a household" is
a. market. Page number 2
b. consumer.
c. producer.
d. economy.
ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 001.01.0 - MC - MANK08
2. The word “economy” comes from the Greek word oikonomos, which means
a. “environment.”
b. “production.”
c. “one who manages a household.”
d. “one who makes decisions.”
ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 002.01.0 - MC - MANK08
3. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 003.01.0 - MC - MANK08
4. In considering how to allocate its scarce resources among its various members, a household
considers
Page 1
2
, Page number 3
3
, Page 2
a. each member’s abilities.
b. each member’s efforts. Page number 4
c. each member’s desires.
d. All of the above are correct.
ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 004.01.0 - MC - MANK08
5. Fundamentally, economics deals with
a. scarcity.
b. money.
c. poverty.
d. banking.
ANSWER: a
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 - Apply basic, economic principles of individual
decision
making that determine how an economy generally works.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 005.01.0 - MC - MANK08
6. Which of the following is correct?
a. The word economy comes from the Greek word for “rational thinker.”
b. Economists study the management of scarce resources.
c. Because economists believe that people pursue their best interests, they are not interested
in
how people interact.
d. All of the above are correct.
ANSWER: b
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.024 - Classify the different functions an economist may
serve.
TOPICS: Economic thinking
Scarcity
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 006.01.0 - MC - MANK08
Page 2
4
