Test Bank Essentials of Economics 9th Edition
By N. Gregory Mankiw
All Chapter (1-24) Q&A Verified| Grade A+ Assured
ISBN 9780357133514
~1~
, TABLE OF CONTENTS
Chapter 1: Ten Principles of Economics. .......................................................................... 3
Chapter 2: Thinking Like an Economist.......................................................................... 93
Chapter 3: Interdependence and the Gains from Trade. .............................................. 145
Chapter 4: The Market Forces of Supply and Demand. ............................................. 182
Chapter 5: Elasticity and Its Application.................................................................... 183
Chapter 6: Supply, Demand, and Government Policies .............................................. 221
Chapter 7: Consumers, Producers, and the Efficiency of Markets. ........................... 243
Chapter 8: Application: The Costs of Taxation. .............................................................. 279
Chapter 9: Application: International Trade ............................................................. 299
Chapter 10: Externalities........................................................................................... 326
Chapter 11: Public Goods and Common Resources ................................................... 448
Chapter 12: The Costs of Production ............................................................................. 462
Chapter 13: Firms in Competitive Markets ................................................................ 472
Chapter 14: Monopoly ............................................................................................... 487
Chapter 15: Measuring a Nation’s Income..................................................................... 501
Chapter 16: Measuring the Cost of Living ...................................................................... 522
Chapter 17: Production and Growth ............................................................................. 559
Chapter 18: Saving, Investment, and the Financial System. ....................................... 582
Chapter 19: The Basic Tools of Finance. ........................................................................ 612
Chapter 20: Unemployment and Its Natural Rate ......................................................... 632
Chapter 21: The Monetary System ................................................................................ 656
Chapter 22: Money Growth and Inflation ...................................................................... 664
Chapter 23: Aggregate Demand and Aggregate Supply.................................................. 685
Chapter 24: The Influence of Monetary and Fiscal Policy on Aggregate Demand .......... 719
~2~
,Chapter 1: Ten Principles of Economics.
1. The English word that comes from the Greek word for "one who manages a household"
is
a. market.
b. consumer.
c. producer.
d. economy.
CORRECT ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 001.01.0 - MCA- MANK08
2. The word “economy” comes from the Greek word oikonomos, which means
a. “environment.”
b. “production.”
c. “one who manages a household.”
d. “one who makes decisions.”
CORRECT ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 002.01.0 - MC - MANK08
3. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
~3~
, c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
CORRECT ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS:
Economic thinki ng Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 003.01.0 - MCA- MANK08
4. In considering how to allocate its scarce resources among its various members, a
household considers
a. each member’s abilities.
b. each member’s efforts.
c. each member’s desires.
d. All of the above are correct.
CORRECT ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS:
Economic thinki ng Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 004.01.0 - MCA- MANK08
5. Fundamentally, economics deals with
a. scarcity.
b. money.
~4~
By N. Gregory Mankiw
All Chapter (1-24) Q&A Verified| Grade A+ Assured
ISBN 9780357133514
~1~
, TABLE OF CONTENTS
Chapter 1: Ten Principles of Economics. .......................................................................... 3
Chapter 2: Thinking Like an Economist.......................................................................... 93
Chapter 3: Interdependence and the Gains from Trade. .............................................. 145
Chapter 4: The Market Forces of Supply and Demand. ............................................. 182
Chapter 5: Elasticity and Its Application.................................................................... 183
Chapter 6: Supply, Demand, and Government Policies .............................................. 221
Chapter 7: Consumers, Producers, and the Efficiency of Markets. ........................... 243
Chapter 8: Application: The Costs of Taxation. .............................................................. 279
Chapter 9: Application: International Trade ............................................................. 299
Chapter 10: Externalities........................................................................................... 326
Chapter 11: Public Goods and Common Resources ................................................... 448
Chapter 12: The Costs of Production ............................................................................. 462
Chapter 13: Firms in Competitive Markets ................................................................ 472
Chapter 14: Monopoly ............................................................................................... 487
Chapter 15: Measuring a Nation’s Income..................................................................... 501
Chapter 16: Measuring the Cost of Living ...................................................................... 522
Chapter 17: Production and Growth ............................................................................. 559
Chapter 18: Saving, Investment, and the Financial System. ....................................... 582
Chapter 19: The Basic Tools of Finance. ........................................................................ 612
Chapter 20: Unemployment and Its Natural Rate ......................................................... 632
Chapter 21: The Monetary System ................................................................................ 656
Chapter 22: Money Growth and Inflation ...................................................................... 664
Chapter 23: Aggregate Demand and Aggregate Supply.................................................. 685
Chapter 24: The Influence of Monetary and Fiscal Policy on Aggregate Demand .......... 719
~2~
,Chapter 1: Ten Principles of Economics.
1. The English word that comes from the Greek word for "one who manages a household"
is
a. market.
b. consumer.
c. producer.
d. economy.
CORRECT ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 001.01.0 - MCA- MANK08
2. The word “economy” comes from the Greek word oikonomos, which means
a. “environment.”
b. “production.”
c. “one who manages a household.”
d. “one who makes decisions.”
CORRECT ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS: Economic thinking
KEYWORDS: BLOOM'S: Knowledge
CUSTOM ID: 002.01.0 - MC - MANK08
3. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
~3~
, c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
CORRECT ANSWER: c
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS:
Economic thinki ng Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 003.01.0 - MCA- MANK08
4. In considering how to allocate its scarce resources among its various members, a
household considers
a. each member’s abilities.
b. each member’s efforts.
c. each member’s desires.
d. All of the above are correct.
CORRECT ANSWER: d
DIFFICULTY: Easy
LEARNING OBJECTIVES: ECON.MANK.012 -
Apply basic, economic principles of individual decision making that deter mine how an economy
generally works.
TOPICS:
Economic thinki ng Scarcity
KEYWORDS: BLOOM'S: Comprehension
CUSTOM ID: 004.01.0 - MCA- MANK08
5. Fundamentally, economics deals with
a. scarcity.
b. money.
~4~
