,Table nofncontents
1. Introduction
2. Supply nand nDemand
3. Applying nthe nSupply-and-Demand nModel
4. Consumer nChoice
5. Applying nConsumer nTheory
6. Firms nand nProduction
7. Costs
8. Competitive nFirms nand nMarkets
9. Applying nthe nCompetitive nModel
10. General nEquilibrium nand nEconomic nWelfare
11. Monopoly
12. Pricing nand nAdvertising
13. Oligopoly nand nMonopolistic nCompetition
14. Game nTheory
15. Factor nMarkets
16. Interest nRates, nInvestments, nand nCapital nMarkets
17. Uncertainty
18. Externalities, nOpen-Access, nand nPublic nGoods
19. Asymmetric nInformation
20. Contracts nand nMoral nHazards
,Chapter n1 Introduction
1.1 Microeconomics: nThe nAllocation nof nScarce nResources
1) Microeconomics n studies n the n allocation n of
A) decision n makers.
B) scarce n resources.
C) models.
D) unlimited
n resources. n
n ANSWER: nB
Section: The n Allocation n of n Scarce
n Resources n Question n Status: Old
AACSB: Analytic n thinking
2) Microeconomics n is n often n called
A) price n theory.
B) decision n science.
C) scarcity.
D) resource
n theory. n
n ANSWER: nA
Section: The n Allocation n of n Scarce
n Resources n Question n Status: Old
AACSB: Analytic n thinking
3) Most n microeconomic n models n assume n that n decision n makers n wish n to
A) make n themselves n as n well n off n as n possible.
B) act n selfishly.
C) make n others n as n well n off n as n possible.
, D) None n of n the
n above. n nANSWER:
A
n
Section: The n Allocation n of n Scarce n Resources