ECON 151 Quizzes With Complete Questions And
Accurate Answers A+ Graded
The price of cotton rises. What happens in the market for cotton shirts?
A. The equilibrium price falls and the equilibrium quantity rises.
B. The equilibrium price rises and the equilibrium quantity falls.
C. The equilibrium price and quantity rise.
D. The equilibrium price and quantity fall. - ANSWER B
Scarcity is defined as?
A. The reward or penalty that encourages or discourages an action
B. A previously incurred and irreversible cost
C. Pleasure you get from dressing up on Halloween
D. Inability to satisfy all our wants - ANSWER D
Whenever a choice is made
A. the cost of that choice could be referred to as opportunity cost
B.the cost is easy to measure in dollar terms
C. a free good must be involved
D. scarcity is not a problem - ANSWER A
High school athletes who skip college to become professional athletes
A. obviously do not understand the value of a college education
B. usually do so because they cannot get into college
C. understand that the opportunity cost of attending college is very high
D. are not making a rational decision since the marginal benefits of college outweigh the
marginal costs of college for high school athletes - ANSWER C
,The relationship between the price of a good and the quantity people are willing and
able to purchase is:
A. demand
B. supply
C. equilibrium
D. disequilibrium - ANSWER A
Which of the following would shift the demand curve for new textbooks to the right?
A. A decrease in the price of paper.
B. A fall in the price of used textbooks.
C. An increase in college enrollments.
D. A fall in the price of new textbooks. - ANSWER C
A decrease in the price of milk (an ingredient of ice cream) will result in a(n):
A. shift of the supply curve of ice cream to the left.
B. shift of the supply curve of ice cream to the right.
C. lower price of ice cream, and thus an increase in the demand for ice cream.
D. increase in the demand for ice cream and a decrease in the supply of milk. - ANSWER
B
If Dave can produce 200 large pizzas per hour and 0 medium pizzas per hour or 0 large
pizzas per hour and 100 medium pizzas per hour and faces a linear production
possibilities curve for his store, the opportunity cost of producing an additional medium
pizza is ______ large pizzas.
A. 0.5
B. 2
C. 100
D. 200 - ANSWER B
, According to the marginal decision rule, if marginal benefit:
A. exceeds marginal cost, an activity should be reduced.
B. is less than marginal cost, an activity should be reduced.
C. is equal to marginal cost, an activity should be reduced.
D. exceeds marginal cost, net benefit is maximized. - ANSWER B
The price of eggs might go up because:
A. of an increase in the price of bacon.
B. the supply of eggs increased.
C. the price of chicken feed increased.
D. the demand for eggs fell. - ANSWER C
Net benefit can be maximized by equating:
A. total benefit to total cost.
B. marginal benefit to marginal cost.
C. marginal benefit to total cost.
D. total benefit to marginal cost. - ANSWER B
Mike really likes hot-dogs. When hot-dogs are on sale at $0.25, mike buys 12 hot-dogs
for the week. When the price goes up to $0.50, mike buys 8 hot dogs. What is the slope
of mikes demand curve:
A. -0.25
B. -4
C. -0.0625
D. 1 - ANSWER C
If a buyer's willingness to pay for a new Honda is $20,000 and she is able to actually buy
Accurate Answers A+ Graded
The price of cotton rises. What happens in the market for cotton shirts?
A. The equilibrium price falls and the equilibrium quantity rises.
B. The equilibrium price rises and the equilibrium quantity falls.
C. The equilibrium price and quantity rise.
D. The equilibrium price and quantity fall. - ANSWER B
Scarcity is defined as?
A. The reward or penalty that encourages or discourages an action
B. A previously incurred and irreversible cost
C. Pleasure you get from dressing up on Halloween
D. Inability to satisfy all our wants - ANSWER D
Whenever a choice is made
A. the cost of that choice could be referred to as opportunity cost
B.the cost is easy to measure in dollar terms
C. a free good must be involved
D. scarcity is not a problem - ANSWER A
High school athletes who skip college to become professional athletes
A. obviously do not understand the value of a college education
B. usually do so because they cannot get into college
C. understand that the opportunity cost of attending college is very high
D. are not making a rational decision since the marginal benefits of college outweigh the
marginal costs of college for high school athletes - ANSWER C
,The relationship between the price of a good and the quantity people are willing and
able to purchase is:
A. demand
B. supply
C. equilibrium
D. disequilibrium - ANSWER A
Which of the following would shift the demand curve for new textbooks to the right?
A. A decrease in the price of paper.
B. A fall in the price of used textbooks.
C. An increase in college enrollments.
D. A fall in the price of new textbooks. - ANSWER C
A decrease in the price of milk (an ingredient of ice cream) will result in a(n):
A. shift of the supply curve of ice cream to the left.
B. shift of the supply curve of ice cream to the right.
C. lower price of ice cream, and thus an increase in the demand for ice cream.
D. increase in the demand for ice cream and a decrease in the supply of milk. - ANSWER
B
If Dave can produce 200 large pizzas per hour and 0 medium pizzas per hour or 0 large
pizzas per hour and 100 medium pizzas per hour and faces a linear production
possibilities curve for his store, the opportunity cost of producing an additional medium
pizza is ______ large pizzas.
A. 0.5
B. 2
C. 100
D. 200 - ANSWER B
, According to the marginal decision rule, if marginal benefit:
A. exceeds marginal cost, an activity should be reduced.
B. is less than marginal cost, an activity should be reduced.
C. is equal to marginal cost, an activity should be reduced.
D. exceeds marginal cost, net benefit is maximized. - ANSWER B
The price of eggs might go up because:
A. of an increase in the price of bacon.
B. the supply of eggs increased.
C. the price of chicken feed increased.
D. the demand for eggs fell. - ANSWER C
Net benefit can be maximized by equating:
A. total benefit to total cost.
B. marginal benefit to marginal cost.
C. marginal benefit to total cost.
D. total benefit to marginal cost. - ANSWER B
Mike really likes hot-dogs. When hot-dogs are on sale at $0.25, mike buys 12 hot-dogs
for the week. When the price goes up to $0.50, mike buys 8 hot dogs. What is the slope
of mikes demand curve:
A. -0.25
B. -4
C. -0.0625
D. 1 - ANSWER C
If a buyer's willingness to pay for a new Honda is $20,000 and she is able to actually buy
