ECON 312 Week 1 to 7 Quiz

ECON
312 Week 1 Quiz
1. (TCO 1) The
general concern of economics is with the study of the
2. (TCO 1)The
term scarcity in economics refers to the fact that
3. (TCO 1)Are
the goods that businesses offer for “free” to consumers also free to
society?
4. (TCO 1)
Which is considered to be an economic resource by economists?
5. (TCO 1)If
an economy is producing at a point inside a production possibilities curve,
then
6. (TCO 1)
Which would not be characteristic of a capitalist economy?
7. (TCO 1)The
term dollar votes means
8. (TCO 1)
The circular flow model
9. (TCO 1)In
a market system, well-defined property rights are important because they
10. (TCO 1)
Which is necessary to make a trade in a barter economy?
11. (TCO 1)
Tammie makes $150 a day as a bank clerk. She takes off two days of work without
pay to fly to another city to attend the concert of her favorite music group.
The cost of transportation for the trip is $250. The cost of the concert ticket
is $50. What is the opportunity cost of Tammie’s trip to the concert? Show your
calculations
12. (TCO 1)
Identify some intrinsic qualities of capitalist and command economic systems.
Identify two countries that practice each.
1. (TCO 2)A
demand curve
2. (TCO 2)
In the past few years, the demand for donuts has greatly increased. This
increase in demand might best be explained by
3. (TCO 2)
Which of the following is most likely to be an inferior good?
4. (TCO 2)
The demand curve for a product might shift as the result of a change in
5. (TCO 2)
The supply curve shows the relationship between
6. (TCO 2)
If the demand for product X is inelastic, a 4% increase in the price of X will
7. (TCO 2)
If the price of hand calculators falls from $10 to $9 and, as a result, the
quantity demanded increases from 100 to 125, then
8. (TCO 2)
If quantity demanded is completely unresponsive to price
9. (TCO 2)
The state legislature has cut Gigantic State University’s appropriations. GSU’s
Board of Regents decides to increase tuition fees to compensate for the loss of
revenue. The board is assuming that the
10. (TCO 2)
The more time consumers have to adjust to a change in price
11. (TCO 2)What
is the Law of Demand? Why does the demand curve slope downwards?
12. (TCO 2)Suppose
the price of widgets rises from $7 to $9 and consumption of widgets falls from
25 widgets a month to 15 widgets. Calculate your price elasticity of demand of
widgets. What can you say about your price elasticity of demand of widgets? Is
it Elastic, Inelastic, or Unitary Elastic? Why? Use the Midpoint formula and
please show your work.

ECON 312 Week 2 Quiz

1.(TCO 2)Economists use the term
“demand” to refer to
2.(TCO 2) Which of the following
would not shift the demand curve for beef?
3.(TCO 2) Which of the following is most likely
to be an inferior good?
4.(TCO 2) Which of the following would mostly
likely increase the demand for gasoline?
5.(TCO 2) The supply curve shows the relationship
between
6.(TCO 2) The price elasticity of demand is
generally
7.(TCO 2) Suppose the price of local cable TV
service increased from $16.20 to $19.80, and as a result, the number of cable
subscribers decreased from 224,000 to 176,000. Use the Midpoint formula
to find the answer. Along this portion of the demand curve, price elasticity of
demand is
8.(TCO 2) A firm can sell as much as it wants at
a constant price. Demand is thus
9.(TCO 2)The demand schedules for such products
as eggs, bread, and electricity tend to be
10.(TCO 2)The demand for autos
is likely to be
11.(TCO 2)What is the Law of
Supply? Why does the supply curve slope upwards? 12.(TCO 2)Suppose the price of
widgets falls from $7 to $5 and consumption of widgets rises from 15 widgets a
month to 25 widgets. Calculate your price elasticity of demand of widgets. What
can you say about your price elasticity of demand of widgets? Is it Elastic,
Inelastic, or Unitary Elastic? Why? Use the Midpoint formula and please show
your work.

ECON 312 Week 3 Quiz
1. (TCO
3)Which of the following constitutes an
implicit cost to the Johnston Manufacturing Company?
2. (TCO 3)To economists, the
main difference between the short run and the long run is that
3. (TCO 3) Which of the
following industries most closely approximates pure competition?
4. (TCO 3)Which of the following
statements applies to a purely competitive producer?
5. (TCO 3)Which of the following
is correct?
6. (TCO 3)Barriers to entering
an industry
7. (TCO 3)The restaurant, legal
assistance, and clothing industries are each illustrations of
8. (TCO 3) Use your basic
knowledge and your understanding of market structures to answer this question.
Which of the following companies most closely approximates a monopolistic
competitor?
9. (TCO 3)Use your basic
knowledge and your understanding of market structures to answer this question.
Which of the following companies most closely approximates a differentiated
oligopolist in a highly concentrated industry?
10. (TCO 3) If the four-firm
concentration ratio for industry X is 80
11. (TCO 3)What is the LAW OF
DIMINISHING RETURNS, and why is this law considered a short-run phenomenon?
12. (TCO 3) Identify the primary
characteristics of monopolistic competition and oligopoly. Give examples
of each.

1. (TCO 3) Economic profits are calculated by
subtracting
2. (TCO 3) To economists, the main difference
between the short run and the long run is that
3. (TCO 3) Economists would describe the U.S.
automobile industry as
4. (TCO 3)A purely competitive seller is
5. (TCO 3)Which of the following is correct?
6. (TCO 3) Confronted with the same unit cost
data, a monopolistic producer will charge
7. (TCO 3) Monopolistic competition means
8. (TCO 3)Product variety is likely to be
greater in
9. (TCO 3) Which of the following is the best
example of oligopoly?
10. (TCO 3)Concentration ratios measure the
11. (TCO 3) What is the LAW OF DIMINISHING
RETURNS, and why is this law considered a short-run phenomenon?
12. (TCO 3) Identify the primary
characteristics of monopolistic competition and oligopoly. Give examples of
each.
ECON 312 Week 5
1.
(TCO 6) Fiscal policy refers to the
2.
(TCO 6) Suppose that the economy is in the
midst of a recession. Which of the following policies would most likely end the
recession and stimulate output growth?
3.
(TCO 6) The crowding-out effect of
expansionary fiscal policy suggests that
4.
(TCO 5) Which of the following would not shift
the aggregate supply curve?
5.
(TCO 6) Other things equal, a reduction in
personal and business taxes can be expected to
6.
(TCO 6) The MPC can be defined as that
fraction of a
7.
(TCO 6) Dissaving means
8.
(TCO 5) Refer to the graph. Which of the
following factors will shift AD1 to AD3?
9.
(TCO 6) The multiplier is
10. (TCO 5) The American
Recovery and Reinvestment Act of 2009 was implemented primarily to
11. (TCO 5) What effect
would each of the following have on aggregate demand or aggregate
12. (TCO 6) Why do some
economists believe that tax cuts are critical to help revive an economy
experiencing a recession?
1.
(TCO 6)Expansionary fiscal policy is so named
because it
2.
(TCO 6) An economist who favors smaller
government would recommend
3.
(TCO 6)The lag between the time and the need
for fiscal action is recognized and the time the action is taken is referred to
as the
4.
(TCO 5)The determinants of aggregate supply
5.
(TCO 6)Other things equal, a reduction in
personal and business taxes can be expected to
6.
(TCO 6)The MPC can be defined as that fraction
of a
7.
(TCO 6) The size of the MPC is assumed to
be
8.
(TCO 5)Refer to the graph. Which of the
following factors will shift AD1 to AD3?
9.
(TCO 6)The multiplier can be calculated as:
10. (TCO 5)The American Recovery
and Reinvestment Act of 2009
11. (TCO 5) What effect
would each of the following have on aggregate demand or aggregate supply?
Explain. a. A reduction in personal income
tax. b. An increase in payroll taxes paid by
the employer
12. (TCO 6) Why do some
economists believe that tax cuts are critical to help revive an economy
experiencing a recession?
ECON 312 Week 7 Quiz
1. (TCO 8) Specialization and trade between
individuals or between nations lead to:
2. (TCO 8) Suppose the United States sets a
limit on the number of tons of sugar that can be imported each year. This
is an example of a(n)
3. (TCO 9) Which of the following is not
included in the current account of a nation’s balance of payments?
4. (TCO 9) If the dollar price of the yen
rises, then
5. (TCO 9) In recent years, the United States
has had large
6. (TCO 9) Answer the next question(s) on the
basis of the following table which indicates the dollar price of libras, the
currency used in the hypothetical nation of Libra. Assume that a system
of freely floating exchange rates is in place.
7. (TCO 8) The primary gain from international
trade is
8. (TCO 8) Refer to the graphs below.
Stanville has a comparative advantage in producing
9. (TCO 9) The Group of Eight (G8) Nations
which periodically have jointly intervened to influence the value of the dollar
include
10. (TCO 8) As a percentage of GDP, U.S.
exports are
11. (TCO 8 and 10) Explain some
of problems with the argument that trade protection is needed to protect
American jobs.
12. (TCO 9) What are the economic effects of a
depreciation of the US dollar on US trade balances?
1. (TCO 8)The United States’ most important
trading partner quantitatively is
2. (TCO 8) Suppose the United States sets a
limit on the number of tons of sugar that can be imported each year. This is an
example of a(n)
3. (TCO 9)Which of the following is not
included in the current account of a nation’s balance of payments?
4. (TCO 9)If the dollar price of the yen
rises, then
5. (TCO 9)In terms of individual nations, the
largest U.S. trade deficit is with
6. (TCO 9)Answer the next question(s) on the
basis of the following table which indicates the dollar price of libras, the
currency used in the hypothetical nation of Libra. Assume that a system of freely
floating exchange rates is in place.
7. (TCO 8)Other things equal, economists would
prefer
8. (TCO 8)Refer to the graphs below. Stanville
has a comparative advantage in producing
9. (TCO 9) Suppose the G8 Nations decide that
the dollar is too strong (high in value) relative to the yen. These nations
might
10. (TCO 8)Which country has the largest share
of total world exports?
11. (TCO 8 and 10) Evaluate this argument for a trade
barrier: “The U.S. needs protection from cheap foreign labor.” Include some
reasons why this might be an invalid statement.
12. (TCO 9)What effect might the depreciation
of the U.S. dollar relative to the Japanese yen have on imports and exports to
and from each country?