ECO 336 EXAM 1 - PART 1 2025
QUESTIONS AND ANSWERS
economics? - ....ANSWER ...-study of how society manages scarce
resources
scarcity? - ....ANSWER ...-limited nature of society resources (labor)
opportunity cost? - ....ANSWER ...-cost of having more of 1 good is
foregoing the opportunity of having more of another
What is the opportunity cost of going to college? - ....ANSWER ...-tuition
and making more money
utility? - ....ANSWER ...-total satisfaction received from consuming a good
or service
rationality? - ....ANSWER ...-the decision-making process that is based on
making choices that result in the optimal level of benefit, or utility, for an
individual
....COPYRIGHT ©️ 2025 ALL RIGHTS RESERVED...TRUSTED & VERIFIED 1
, One of the most fundamental assumptions in economics is... -
....ANSWER ...-people behave rationally
economic models? - ....ANSWER ...-frameworks that explain human
behavior
theories? - ....ANSWER ...-explanations for why an event might have
occurred.
Ceteris Paribus? - ....ANSWER ...-with other conditions remaining the same
Economists exam the effects of change in a _____________, while assuming that
______________________________. - ....ANSWER ...-Single variable of
interest; all else remains the same
Data difficulties (2)? - ....ANSWER ...-1. Slow to gather/Can be expensive
2. Collecting and compiling can take time
When data is available, evidence for theories can be obtained with... -
....ANSWER ...-average & cross tabulations and regressions
market? - ....ANSWER ...-where the goods and services are sold
government? - ....ANSWER ...-major buyer and seller of goods and services,
also regulates & otherwise influences economy
....COPYRIGHT ©️ 2025 ALL RIGHTS RESERVED...TRUSTED & VERIFIED 2
QUESTIONS AND ANSWERS
economics? - ....ANSWER ...-study of how society manages scarce
resources
scarcity? - ....ANSWER ...-limited nature of society resources (labor)
opportunity cost? - ....ANSWER ...-cost of having more of 1 good is
foregoing the opportunity of having more of another
What is the opportunity cost of going to college? - ....ANSWER ...-tuition
and making more money
utility? - ....ANSWER ...-total satisfaction received from consuming a good
or service
rationality? - ....ANSWER ...-the decision-making process that is based on
making choices that result in the optimal level of benefit, or utility, for an
individual
....COPYRIGHT ©️ 2025 ALL RIGHTS RESERVED...TRUSTED & VERIFIED 1
, One of the most fundamental assumptions in economics is... -
....ANSWER ...-people behave rationally
economic models? - ....ANSWER ...-frameworks that explain human
behavior
theories? - ....ANSWER ...-explanations for why an event might have
occurred.
Ceteris Paribus? - ....ANSWER ...-with other conditions remaining the same
Economists exam the effects of change in a _____________, while assuming that
______________________________. - ....ANSWER ...-Single variable of
interest; all else remains the same
Data difficulties (2)? - ....ANSWER ...-1. Slow to gather/Can be expensive
2. Collecting and compiling can take time
When data is available, evidence for theories can be obtained with... -
....ANSWER ...-average & cross tabulations and regressions
market? - ....ANSWER ...-where the goods and services are sold
government? - ....ANSWER ...-major buyer and seller of goods and services,
also regulates & otherwise influences economy
....COPYRIGHT ©️ 2025 ALL RIGHTS RESERVED...TRUSTED & VERIFIED 2
