ECON 1580 Exam- Questions with Detailed
Verified and 100% Accurate Solutions
A/an _______ does not pose the problem of scarcity; one use of the good is not an
alternative to another use.
free good
The Case in Point on the oil extraction suggests that one reason oil may become more costly
is that:
Select one:
a. we will have to give up more and more valuable alternatives to extract oil.
b. speculation is likely to drive up oil prices.
c. oil producers are likely to become more greedy in the future.
d. actually, the Case suggests that oil extraction is likely to become less costly and the
future.
a. we will have to give up more and more valuable alternatives to extract oil.
The BEST example of making a choice at the margin is:
Select one:
a. buying a new car.
b. quitting your job.
c. a coffee drinker drinking another cup of coffee.
d. attending college.
c. a coffee drinker drinking another cup of coffee.
, The study of a single firm and how it determines prices would fall under:
Select one:
a. macroeconomics.
b. microeconomics.
c. the study of inflation.
d. normative economics.
b. microeconomics.
Suppose you observe that the sun sets every evening after the six o'clock business report. If
you conclude that the six o'clock business report makes the sun set, you are guilty of the
fallacy of:
Select one:
a. division.
b. composition.
c. false cause.
d. science.
c. false cause.
An example of a normative statement is:
Select one:
a. The rate of unemployment is 4 percent.
b. A high rate of economic growth creates more jobs for the country.
c. The federal government spends half of its budget on national defense.
d. Everyone in the country needs to be covered by national health insurance.
Verified and 100% Accurate Solutions
A/an _______ does not pose the problem of scarcity; one use of the good is not an
alternative to another use.
free good
The Case in Point on the oil extraction suggests that one reason oil may become more costly
is that:
Select one:
a. we will have to give up more and more valuable alternatives to extract oil.
b. speculation is likely to drive up oil prices.
c. oil producers are likely to become more greedy in the future.
d. actually, the Case suggests that oil extraction is likely to become less costly and the
future.
a. we will have to give up more and more valuable alternatives to extract oil.
The BEST example of making a choice at the margin is:
Select one:
a. buying a new car.
b. quitting your job.
c. a coffee drinker drinking another cup of coffee.
d. attending college.
c. a coffee drinker drinking another cup of coffee.
, The study of a single firm and how it determines prices would fall under:
Select one:
a. macroeconomics.
b. microeconomics.
c. the study of inflation.
d. normative economics.
b. microeconomics.
Suppose you observe that the sun sets every evening after the six o'clock business report. If
you conclude that the six o'clock business report makes the sun set, you are guilty of the
fallacy of:
Select one:
a. division.
b. composition.
c. false cause.
d. science.
c. false cause.
An example of a normative statement is:
Select one:
a. The rate of unemployment is 4 percent.
b. A high rate of economic growth creates more jobs for the country.
c. The federal government spends half of its budget on national defense.
d. Everyone in the country needs to be covered by national health insurance.
