Name:bbb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb1b
b
1.bRecallbChapterb1'sbopeningbstorybaboutbthebBritishbseabcaptainsbandbthebconvictedbfelons.b
Inbwhatbwaybwereb
incentivesbusedbtobsolvebthebproblembofbthebhighbmortalitybratebonbboardbthebships?b
bb
a.bbPaymentb(tobshipbcaptains)bwasbtobbebofferedbforbeachbprisonerbthatbwasbtakenbaboardbth
ebships.b
bb
b.bbPaymentb(tobshipbcaptains)bwasbmadebindependentbofbthebregulationsbpassedbforbprisone
rbwelfare.b
bb
c.bbRegulationsbwerebpassedbsobthatbprisonersbcouldbgetbbetterbfood,bwater,bandbmedicalbcare
.b
bb
d.bbPaymentb(tobshipbcaptains)bwasbmadebdependentbonbthebsurvivalbratebofbprisoners.b
b
ANSWER:bbbdb
b
b
2.bRecallbChapterb1'sbopeningbstorybaboutbthebBritishbseabcaptainsbandbthebconvictedbfelons.b
Insteadbofbpayingbtheb
seabcaptainsbforbeachbprisonerbplacedbonbboardbthebshipsbinbGreatbBritain,banbeconomistbsug
gested:b
bb
a.bbpayingbforbeachbprisonerbwhobwalkedboffbthebshipbinbAustralia.b
bb
b.bbpayingbforbfoodbandbwaterbtobreducebthebcostsbofbcaringbforbprisonersbduringbthebtransit.b
bb
c.bbdoingbnothing,bsincebthebsuggestedbchangebwouldbnotbmatter.b
bb
d.bbthatbnewbregulationsbbebpassedbtobrequirebprisonerbsafetybandbhealth.b
b
ANSWER:bbbab
b
b
3.bInbhisbbookbThebWealthbofbNations,bAdambSmithbclaimedbthatbindividuals:b
bb
a.bbalwaysbactbinbanbaltruisticbway.b
bb
b.bbalwaysbconsiderbthebeffectbofbtheirbactionsbonbothers.b
bb
c.bbarebmotivatedbbybself-interest.b
bb
d.bbarebnotbconcernedbwithbresources.b
b
ANSWER:bbbcb
,b
b
4.bInbthebopeningbstory,bthebpaymentbtobcaptainsbofbprisonerbtransportbshipsbforbeachbconvic
tbwhobarrivedbinb
Australiabinsteadbofbforbeachbconvictbwhobboardedbthebship:b
bb
a.bbmadebnobdifference.b
bb
b.bbsavedbtheblivesbofbhundredsbofbconvicts.b
bb
c.bbincreasedbthebvolumebofbslavebtrafficking.b
bb
d.bbshowsbthatbpeoplebcarebmorebaboutbmoralitybthanbaboutbtheirbself-interest.b
b
ANSWER:bbbbb
b
b
5.bSeveralbstatesbofferbrebatesbonbthebpurchasebofbelectricbvehicles.bThisbpracticebhighlightsbt
hebideabof:b
bb
a.bbself-interest.b
bb
b.bbtrade-offs.b
bb
c.bbincentives.b
bb
d.bbthinkingbonbthebmargin.b
b
ANSWER:bbbcb
b
b
DOWNLOADbTHEbTestbBankbforbModernbPrinciplesbofbEconomicsb5thbEdition
bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbCowen
mynursytest.store
Name:bbb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb2b
b
6.bEverybday,bpeoplebworkbatbservingbpeoplebmealsbatbrestaurantsballbaroundbthebworld.bThe
sebpeoplebworkbforb
ourbbenefitbbecause:b
bb
a.bbpeoplebthinkbonbthebmargin.b
bb
b.bbtrade-offsbarebeverywhere.b
bb
c.bbtheybbenefitbbybdoingbso.b
bb
d.bbinstitutionsbrequirebthembtobdobso.b
b
,ANSWER:bbbcb
b
b
7.bEconomistsbthinkbthatbpeoplebarebself-interested:b
bb
a.bbonlybwhenbmonetarybincentivesbarebpresent.b
bb
b.bbbecausebtheybrespondbtobincentivesbinbpredictablebways.b
bb
c.bbonlybrarelybinbresponsebtobincentives.b
bb
d.bbunlessbtheybarebbeingbaltruistic.b
b
ANSWER:bbbbb
b
b
8.bThebbasicbpostulatebofbeconomicsbindicatesbthatbchangesbinbincentivesbinfluencebthe:b
bb
a.bbactionsbofbproducersbbutbnotbconsumers.b
bb
b.bbactionsbofbconsumersbbutbnotbproducers.b
bb
c.bbchoicesbofbindividualsbonlybwhenbtheybbuybandbsellbgoodsbinbthebmarketplace.b
bb
d.bbchoicesbofbindividualsbwithbregardbtobabwidebrangebofbactivities,bincludingbthosebgenerally
bperceivedb
asbsocialborbpolitical.b
b
ANSWER:bbbdb
b
b
9.bAccordingbtobeconomists,bpeoplebrespondbto:b
bb
a.bbotherbpeople.b
bb
b.bbsocialbinterest.b
bb
c.bbmoney.b
bb
d.bbincentives.b
b
ANSWER:bbbdb
b
b
10.bAdambSmithbwrote,b“Itbisbnotbfrombthebbenevolencebofbthebbutcher,bthebbrewer,borbthebba
ker,bthatbwebexpectb
ourbdinner,bbutbfrombtheirbregardbtobtheirbownbinterest.”bHebmeantbthat:b
bb
a.bbmostbofbusbnoblongerbgetbourbdinnerbdirectlybfrombthebbutcher,bthebbrewer,bandbthebbaker.
b
bb
b.bbbutchers,bbrewers,bandbbakersbarebnotbproductivebmembersbofbsociety.b
bb
c.bbhigh-interestbpaymentsbmeanbthatbnobonebhasbtobworkbanymore.b
bb
d.bbpeoplebworkbforbthebbenefitbofbothersbbecausebitbbenefitsbthembtobdobso.b
b
ANSWER:bbbdb
b
b
, 11.bWhichbfinancingbmethodbforbtransportingbprisonersbfrombpointbAbtobBbwillbresultbinbthebg
reatestbnumberbofb
DOWNLOADbTHEbTestbBankbforbModernbPrinciplesbofbEconomicsb5thbEdition
bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbCowen
mynursytest.store
Name:bbb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb3b
b
prisonersbsurvivingbthebtrip?bAssumebtherebareb50bprisonersbbeingbtransported.b
bb
a.bbThebship'sbcaptainbisbpaidb$100bbybthebgovernmentbforbeveryblivebprisonerbthatbisbloadedb
onbboardbatb
pointbA.b
bb
b.bbThebship'sbcaptainbisbpaidb$100bbybthebgovernmentbforbeveryblivebprisonerbthatbisbunload
edbatbpointbB.b
bb
c.bbThebship'sbcaptainbisbpaidb$400bbybthebgovernmentbforbeveryblivebprisonerbthatbisbloadedb
onbboardbatb
pointbA.b
bb
d.bbThebship'sbcaptainbisbpaidbabflatbratebofb$3,000bforbthebtrip,bratherbthanbbeingbpaidbperbpri
soner.b
b
ANSWER:bbbbb
b
b
12.bThebmainbincentivebforbbusinessbactivitybis:b
bb
a.bbgovernmentbsubsidies.b
bb
b.bbtechnologicalbadvancement.b
bb
c.bbprofit.b
bb
d.bbemployment.b
b
ANSWER:bbbcb
b
b
13.bSupposebabcertainbbusinessbwantsbtobencouragebitsbemployeesbtoblivebhealthierblives.bThe
beasiestbwaybforbtheb
businessbtobrealizebthisbgoalbisbto:b
bb
a.bbgivebeachbemployeeb$100babmonthbforbabgymbmembership.b
bb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb1b
b
1.bRecallbChapterb1'sbopeningbstorybaboutbthebBritishbseabcaptainsbandbthebconvictedbfelons.b
Inbwhatbwaybwereb
incentivesbusedbtobsolvebthebproblembofbthebhighbmortalitybratebonbboardbthebships?b
bb
a.bbPaymentb(tobshipbcaptains)bwasbtobbebofferedbforbeachbprisonerbthatbwasbtakenbaboardbth
ebships.b
bb
b.bbPaymentb(tobshipbcaptains)bwasbmadebindependentbofbthebregulationsbpassedbforbprisone
rbwelfare.b
bb
c.bbRegulationsbwerebpassedbsobthatbprisonersbcouldbgetbbetterbfood,bwater,bandbmedicalbcare
.b
bb
d.bbPaymentb(tobshipbcaptains)bwasbmadebdependentbonbthebsurvivalbratebofbprisoners.b
b
ANSWER:bbbdb
b
b
2.bRecallbChapterb1'sbopeningbstorybaboutbthebBritishbseabcaptainsbandbthebconvictedbfelons.b
Insteadbofbpayingbtheb
seabcaptainsbforbeachbprisonerbplacedbonbboardbthebshipsbinbGreatbBritain,banbeconomistbsug
gested:b
bb
a.bbpayingbforbeachbprisonerbwhobwalkedboffbthebshipbinbAustralia.b
bb
b.bbpayingbforbfoodbandbwaterbtobreducebthebcostsbofbcaringbforbprisonersbduringbthebtransit.b
bb
c.bbdoingbnothing,bsincebthebsuggestedbchangebwouldbnotbmatter.b
bb
d.bbthatbnewbregulationsbbebpassedbtobrequirebprisonerbsafetybandbhealth.b
b
ANSWER:bbbab
b
b
3.bInbhisbbookbThebWealthbofbNations,bAdambSmithbclaimedbthatbindividuals:b
bb
a.bbalwaysbactbinbanbaltruisticbway.b
bb
b.bbalwaysbconsiderbthebeffectbofbtheirbactionsbonbothers.b
bb
c.bbarebmotivatedbbybself-interest.b
bb
d.bbarebnotbconcernedbwithbresources.b
b
ANSWER:bbbcb
,b
b
4.bInbthebopeningbstory,bthebpaymentbtobcaptainsbofbprisonerbtransportbshipsbforbeachbconvic
tbwhobarrivedbinb
Australiabinsteadbofbforbeachbconvictbwhobboardedbthebship:b
bb
a.bbmadebnobdifference.b
bb
b.bbsavedbtheblivesbofbhundredsbofbconvicts.b
bb
c.bbincreasedbthebvolumebofbslavebtrafficking.b
bb
d.bbshowsbthatbpeoplebcarebmorebaboutbmoralitybthanbaboutbtheirbself-interest.b
b
ANSWER:bbbbb
b
b
5.bSeveralbstatesbofferbrebatesbonbthebpurchasebofbelectricbvehicles.bThisbpracticebhighlightsbt
hebideabof:b
bb
a.bbself-interest.b
bb
b.bbtrade-offs.b
bb
c.bbincentives.b
bb
d.bbthinkingbonbthebmargin.b
b
ANSWER:bbbcb
b
b
DOWNLOADbTHEbTestbBankbforbModernbPrinciplesbofbEconomicsb5thbEdition
bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbCowen
mynursytest.store
Name:bbb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb2b
b
6.bEverybday,bpeoplebworkbatbservingbpeoplebmealsbatbrestaurantsballbaroundbthebworld.bThe
sebpeoplebworkbforb
ourbbenefitbbecause:b
bb
a.bbpeoplebthinkbonbthebmargin.b
bb
b.bbtrade-offsbarebeverywhere.b
bb
c.bbtheybbenefitbbybdoingbso.b
bb
d.bbinstitutionsbrequirebthembtobdobso.b
b
,ANSWER:bbbcb
b
b
7.bEconomistsbthinkbthatbpeoplebarebself-interested:b
bb
a.bbonlybwhenbmonetarybincentivesbarebpresent.b
bb
b.bbbecausebtheybrespondbtobincentivesbinbpredictablebways.b
bb
c.bbonlybrarelybinbresponsebtobincentives.b
bb
d.bbunlessbtheybarebbeingbaltruistic.b
b
ANSWER:bbbbb
b
b
8.bThebbasicbpostulatebofbeconomicsbindicatesbthatbchangesbinbincentivesbinfluencebthe:b
bb
a.bbactionsbofbproducersbbutbnotbconsumers.b
bb
b.bbactionsbofbconsumersbbutbnotbproducers.b
bb
c.bbchoicesbofbindividualsbonlybwhenbtheybbuybandbsellbgoodsbinbthebmarketplace.b
bb
d.bbchoicesbofbindividualsbwithbregardbtobabwidebrangebofbactivities,bincludingbthosebgenerally
bperceivedb
asbsocialborbpolitical.b
b
ANSWER:bbbdb
b
b
9.bAccordingbtobeconomists,bpeoplebrespondbto:b
bb
a.bbotherbpeople.b
bb
b.bbsocialbinterest.b
bb
c.bbmoney.b
bb
d.bbincentives.b
b
ANSWER:bbbdb
b
b
10.bAdambSmithbwrote,b“Itbisbnotbfrombthebbenevolencebofbthebbutcher,bthebbrewer,borbthebba
ker,bthatbwebexpectb
ourbdinner,bbutbfrombtheirbregardbtobtheirbownbinterest.”bHebmeantbthat:b
bb
a.bbmostbofbusbnoblongerbgetbourbdinnerbdirectlybfrombthebbutcher,bthebbrewer,bandbthebbaker.
b
bb
b.bbbutchers,bbrewers,bandbbakersbarebnotbproductivebmembersbofbsociety.b
bb
c.bbhigh-interestbpaymentsbmeanbthatbnobonebhasbtobworkbanymore.b
bb
d.bbpeoplebworkbforbthebbenefitbofbothersbbecausebitbbenefitsbthembtobdobso.b
b
ANSWER:bbbdb
b
b
, 11.bWhichbfinancingbmethodbforbtransportingbprisonersbfrombpointbAbtobBbwillbresultbinbthebg
reatestbnumberbofb
DOWNLOADbTHEbTestbBankbforbModernbPrinciplesbofbEconomicsb5thbEdition
bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbCowen
mynursytest.store
Name:bbb
b
b Class:bbb
b
b Date:bbb
b
b
Chapterb1b
b
CopyrightbMacmillanbLearning.bPoweredbbybCognero.b
Pageb3b
b
prisonersbsurvivingbthebtrip?bAssumebtherebareb50bprisonersbbeingbtransported.b
bb
a.bbThebship'sbcaptainbisbpaidb$100bbybthebgovernmentbforbeveryblivebprisonerbthatbisbloadedb
onbboardbatb
pointbA.b
bb
b.bbThebship'sbcaptainbisbpaidb$100bbybthebgovernmentbforbeveryblivebprisonerbthatbisbunload
edbatbpointbB.b
bb
c.bbThebship'sbcaptainbisbpaidb$400bbybthebgovernmentbforbeveryblivebprisonerbthatbisbloadedb
onbboardbatb
pointbA.b
bb
d.bbThebship'sbcaptainbisbpaidbabflatbratebofb$3,000bforbthebtrip,bratherbthanbbeingbpaidbperbpri
soner.b
b
ANSWER:bbbbb
b
b
12.bThebmainbincentivebforbbusinessbactivitybis:b
bb
a.bbgovernmentbsubsidies.b
bb
b.bbtechnologicalbadvancement.b
bb
c.bbprofit.b
bb
d.bbemployment.b
b
ANSWER:bbbcb
b
b
13.bSupposebabcertainbbusinessbwantsbtobencouragebitsbemployeesbtoblivebhealthierblives.bThe
beasiestbwaybforbtheb
businessbtobrealizebthisbgoalbisbto:b
bb
a.bbgivebeachbemployeeb$100babmonthbforbabgymbmembership.b
bb
