ECON 2102 Questions and Correct Verified Answers
Because resources are scarce society must make decisions about all of the following except: -
✔✔Whether scarcity exists or not.
Indicate if the following statement is True or False.
100 shares of GM stock is an example of capital - ✔✔false
What is the opportunity cost of increasing the number of solar panels in use in the United States?
- ✔✔The land that was used to produce the solar panels that could have been used to produce
something else.
Which of the following is an assumption under which the production-possibilities curve is
drawn? - ✔✔The supply of resources is fixed.
the production possibilities curve demonstrates: - ✔✔the law of increasing opportunity costs.
Over time, an increase in a nation's stock of physical capital will: - ✔✔shift the production
possibilities curve outward.
Indicate if the following statement is True or False.
All output combinations that lie outside a production possibilities curve are attainable with
available resources and technology. - ✔✔false
The law of demand is the principle that there is ____ relationship between the price of a good
and the quantity buyers are willing to purchase in a defined time period, ceteris paribus. -
✔✔an inverse
Indicate if the following statement is True or False.
The increase in the price of a plane ticket will cause a decrease in demand for airline travel and a
leftward shift in the demand curve. - ✔✔false
, A very hot summer in Charlotte will cause: - ✔✔The demand for jackets to decrease.
Which of the following would most likely cause the demand for veggie burgers to increase? -
✔✔An increase in the price of tofu burgers, perceived as a substitute by veggie burger
consumers.
Indicate if the following statement is True or False.
An increase in the price of one good can cause the demand for another good to increase if the
two goods are complements. - ✔✔false
Assuming that automobiles are normal goods, a rise in consumer income, other things being
equal, will cause: - ✔✔the demand curve for automobiles to shift to the right.
Business firms supply goods and services to ____ and purchase factors of production in ____.
You Answered - ✔✔Product markets; factor markets.
Which of the following will cause a movement upward along a supply curve? - ✔✔Increases
in the market price of a good, other things being equal.
If the price of the factors used to produce a good change, both the demand curve and the supply
curve of the good will shift. - ✔✔false
How will an increase in lumber prices influence the home construction market? - ✔✔The
supply of newly constructed homes will decrease.
If the quantity demanded of milk is 55,000 and the quantity supplied of milk is 80,000, then: -
✔✔there is an excess supply of 25,000 units of milk.
Because resources are scarce society must make decisions about all of the following except: -
✔✔Whether scarcity exists or not.
Indicate if the following statement is True or False.
100 shares of GM stock is an example of capital - ✔✔false
What is the opportunity cost of increasing the number of solar panels in use in the United States?
- ✔✔The land that was used to produce the solar panels that could have been used to produce
something else.
Which of the following is an assumption under which the production-possibilities curve is
drawn? - ✔✔The supply of resources is fixed.
the production possibilities curve demonstrates: - ✔✔the law of increasing opportunity costs.
Over time, an increase in a nation's stock of physical capital will: - ✔✔shift the production
possibilities curve outward.
Indicate if the following statement is True or False.
All output combinations that lie outside a production possibilities curve are attainable with
available resources and technology. - ✔✔false
The law of demand is the principle that there is ____ relationship between the price of a good
and the quantity buyers are willing to purchase in a defined time period, ceteris paribus. -
✔✔an inverse
Indicate if the following statement is True or False.
The increase in the price of a plane ticket will cause a decrease in demand for airline travel and a
leftward shift in the demand curve. - ✔✔false
, A very hot summer in Charlotte will cause: - ✔✔The demand for jackets to decrease.
Which of the following would most likely cause the demand for veggie burgers to increase? -
✔✔An increase in the price of tofu burgers, perceived as a substitute by veggie burger
consumers.
Indicate if the following statement is True or False.
An increase in the price of one good can cause the demand for another good to increase if the
two goods are complements. - ✔✔false
Assuming that automobiles are normal goods, a rise in consumer income, other things being
equal, will cause: - ✔✔the demand curve for automobiles to shift to the right.
Business firms supply goods and services to ____ and purchase factors of production in ____.
You Answered - ✔✔Product markets; factor markets.
Which of the following will cause a movement upward along a supply curve? - ✔✔Increases
in the market price of a good, other things being equal.
If the price of the factors used to produce a good change, both the demand curve and the supply
curve of the good will shift. - ✔✔false
How will an increase in lumber prices influence the home construction market? - ✔✔The
supply of newly constructed homes will decrease.
If the quantity demanded of milk is 55,000 and the quantity supplied of milk is 80,000, then: -
✔✔there is an excess supply of 25,000 units of milk.
