EXAM 3 ECON 200 UOFA WITH
MULTIPLE CHOICE QUESTIONS AND
DETAILED SOLVED SOLUTIONS
ALREADY GRADED A+ AND 100%
GUARANTEE PASS (JUST
RELEASED!!!!!!!!)
Consumer Price Index - THE CORRECT ANSWER-measurement of the
price level based on the consumption patterns of a typical
consumer.
cost of inflation - THE CORRECT ANSWER-Uncertainity
cost of inflation - THE CORRECT ANSWER-Signal extraction problem:
is an increase in price a result of an increase in demand or
inflation?
cost of inflation - THE CORRECT ANSWER-Menu costs: costs of
changing prices
cost of inflation - THE CORRECT ANSWER-Money illusion: Austin
Powers clip
Cost push - THE CORRECT ANSWER-supply side
,Demand pull - THE CORRECT ANSWER-demand side
Long-run economic growth - THE CORRECT ANSWER-is the key to
raising the average standard of living.
Long-run world per capita GDP - THE CORRECT ANSWER-looks like a
hockey stick; flat to the late 18th century, then sharp rise.
Rule of 70 - THE CORRECT ANSWER-(70/average growth rate) 10%
growth per year: 7 years for GDP to double
Key of economic growth - THE CORRECT ANSWER-capital
Key of economic growth - THE CORRECT ANSWER-technology
Key of economic growth - THE CORRECT ANSWER-Institutions
are critical ( Nogales borders with America)
Budget surplus - THE CORRECT ANSWER-revenue > expenditure
Budget deficit - THE CORRECT ANSWER-expenditure > revenue
Social security - THE CORRECT ANSWER-
Medicare/Medicaid: - THE CORRECT ANSWER-
, Intertemporal decision making - THE CORRECT ANSWER-across time.
Requires valuing the present and future consistently
The status quo bias: - THE CORRECT ANSWER-Exists when decision
makers want to maintain their current choices ( 1 dollar bill or
coin)
The hot hand fallacy - THE CORRECT ANSWER-Belief that random
sequences exhibit a positive correlation ( basketball games)
The gambler's fallacy: - THE CORRECT ANSWER-Belief that outcomes
that have not occurred recently are likely to occur soon. (poker)
Bounded rationality - THE CORRECT ANSWER-Concept of limited
reasoning, Incomplete information, limitations of the brain, not
enough time,
Ultimatum game - THE CORRECT ANSWER-A sequential game in
which two players decide how to divide the sum of money.
Illustrates that people reject a proposal to help themselves in
the name of fairness.
Priming - THE CORRECT ANSWER-: Occurs when there order of
questions influences answers or choices. ( What does it mean
when the same answer comes up may times in a row
A preference reversal: - THE CORRECT ANSWER-Occurs when people's
risk tolerance is not consistent
MULTIPLE CHOICE QUESTIONS AND
DETAILED SOLVED SOLUTIONS
ALREADY GRADED A+ AND 100%
GUARANTEE PASS (JUST
RELEASED!!!!!!!!)
Consumer Price Index - THE CORRECT ANSWER-measurement of the
price level based on the consumption patterns of a typical
consumer.
cost of inflation - THE CORRECT ANSWER-Uncertainity
cost of inflation - THE CORRECT ANSWER-Signal extraction problem:
is an increase in price a result of an increase in demand or
inflation?
cost of inflation - THE CORRECT ANSWER-Menu costs: costs of
changing prices
cost of inflation - THE CORRECT ANSWER-Money illusion: Austin
Powers clip
Cost push - THE CORRECT ANSWER-supply side
,Demand pull - THE CORRECT ANSWER-demand side
Long-run economic growth - THE CORRECT ANSWER-is the key to
raising the average standard of living.
Long-run world per capita GDP - THE CORRECT ANSWER-looks like a
hockey stick; flat to the late 18th century, then sharp rise.
Rule of 70 - THE CORRECT ANSWER-(70/average growth rate) 10%
growth per year: 7 years for GDP to double
Key of economic growth - THE CORRECT ANSWER-capital
Key of economic growth - THE CORRECT ANSWER-technology
Key of economic growth - THE CORRECT ANSWER-Institutions
are critical ( Nogales borders with America)
Budget surplus - THE CORRECT ANSWER-revenue > expenditure
Budget deficit - THE CORRECT ANSWER-expenditure > revenue
Social security - THE CORRECT ANSWER-
Medicare/Medicaid: - THE CORRECT ANSWER-
, Intertemporal decision making - THE CORRECT ANSWER-across time.
Requires valuing the present and future consistently
The status quo bias: - THE CORRECT ANSWER-Exists when decision
makers want to maintain their current choices ( 1 dollar bill or
coin)
The hot hand fallacy - THE CORRECT ANSWER-Belief that random
sequences exhibit a positive correlation ( basketball games)
The gambler's fallacy: - THE CORRECT ANSWER-Belief that outcomes
that have not occurred recently are likely to occur soon. (poker)
Bounded rationality - THE CORRECT ANSWER-Concept of limited
reasoning, Incomplete information, limitations of the brain, not
enough time,
Ultimatum game - THE CORRECT ANSWER-A sequential game in
which two players decide how to divide the sum of money.
Illustrates that people reject a proposal to help themselves in
the name of fairness.
Priming - THE CORRECT ANSWER-: Occurs when there order of
questions influences answers or choices. ( What does it mean
when the same answer comes up may times in a row
A preference reversal: - THE CORRECT ANSWER-Occurs when people's
risk tolerance is not consistent
