businesses can increase market share by offering free lunch
scarce resources have alternative uses or opportunity costs
consumers often ask for free lunch
3. Multiple Choice
30 seconds
1 pt
A major principle of economic thinking is
weighting marginal benefit vs.marginal cost
equating self interest
validity of normative economics
recognizing the abundance of economic resources
4. Multiple Choice
30 seconds
1 pt
The lower the price of the product, the greater the quantity consumed is based on
post hoc fallacy
ceteris parabis
law of demand
marginal utlity
5. Multiple Choice
30 seconds
1 pt
The production of more goods, the development of new technology, and the development of a higher standard of living are associated with what economic goal
Economic Equity
Economic Efficiency
Full Employment
Economic Growth
6. Multiple Choice
30 seconds
1 pt
Which economic goal is associated with the idea we want to get the maximum benefit at the minimum cost from the limited productive resources
Economic Security
Economic Freedom
Economic Growth
Economic Efficiency
7. Multiple Choice
30 seconds
1 pt
When two economic goals are in direct conflict with one another
its impossible to quantify both goals
there is a trade off between goals
the two goals are not accepted as important
the attainment of one goals results in the additional attainment of the other goal
8. Multiple Choice
30 seconds
1 pt
When we look at the aggregate of the economy the analysis at the level would be called
microeconomics
positive economics
macroeconomics
normative economics
9. Multiple Choice
30 seconds
1 pt
Which would be studied in microeconomics
the output of the entire economy
total number of workers employed by the entire economy
general price levels in the US
the output and price of wheat in the US
10. Multiple Choice
30 seconds
1 pt
Which of the following is a normative economic statement
the CPI rose 5.6% last month
the unemployment rate of 6.8% is too high
the average loan IR is 8.6%
the economy grew at an average rate of 2.6%
11. Multiple Choice
30 seconds
1 pt
If a farmer grows a large crop one year, he or she will likely receive more income, therefore, if all farmers grew larger crops they would likely receive more income is an example of
after this, therefore b/c of this
fallacy of composition
economic bias
loaded terminology
12. Multiple Choice
30 seconds
1 pt
more education is associated with more income and you conclude that more income leads to more education, this is an example of
correlation and causation
fallacy of composition
post hoc fallacy
loaded terminology
13. Multiple Choice
30 seconds
1 pt
What is true of a PPC curve that is concave to the origin
resources are split equally between the two products
more than two products can be analyized
prices of the two products can be the same
as more of one is produced, more of the other good is produced
14. Multiple Choice
30 seconds
1 pt
The most fundamental economic problem is
Scarcity
Taxation
Unemployment
Freedom
15. Multiple Choice
30 seconds
1 pt
If a country has a comparative advantage over another country it is said that
Country A can produce more than Country B
Country A should not trade with Country B
Country A can produce at a lower opportunity cost than Country B
Country A and Country B have no direct relationship to each other
16. Multiple Choice
45 seconds
12 pts
What does this curve represent?
demand
supply
equilibrium
shortage
17. Multiple Choice
45 seconds
1 pt
What does this curve represent?
supply
equilibrium
demand
surplus
18. Multiple Choice
30 seconds
1 pt
An increase in the price of aspirin is likely to be paired with a(n) ___________________ in the demand for Tylenol because the two goods are __________________.
increase; complements
increase; substitutes
decrease; complements
decrease; substitutes
19. Multiple Choice
30 seconds
1 pt
If the price of printers goes down, what happens in the market for ink cartridges?
Supply increases.
Supply decreases.
Demand increases.
Demand decreases
20. Multiple Choice
30 seconds
1 pt
Printers and ink cartridges are typically purchased together. Economists would call these
Stubstitues
Complements
Elastic
Inelastic
21. Multiple Choice
30 seconds
1 pt
Assume the image is showing the market for apples. Which of the headlines could indicate the pictured shift is occurring in the market?
Pesticides on apples linked to mouth cancer.
Storms destroy apple orchards.
An apple a day really does keep the doctor away.
New genetic strain leads to apple trees that produce twice as many apples.
22. Multiple Choice
30 seconds
1 pt
The following is a factor that will not cause the demand curve to shift:
Advertising
Population
Price
Consumer expectations
23. Multiple Choice
30 seconds
1 pt
A change in quantity demanded is shown
at various points on the demand curve
with a new demand curve drawn above or below the original demand curve
with a vertical line
24. Multiple Choice
30 seconds
1 pt
Consuming more of one good because of a change in price of another good is known as the
income effect
substitution effect
elasticity effect
demand effect
25. Multiple Choice
30 seconds
1 pt
If a consumer knows that a product will be going on sale this week, how will his/her CURRENT demand be affected?
it will go up
it will go down
it will stay the same
what does this have to do with the price of tea in China?
26. Multiple Choice
30 seconds
1 pt
A table that lists the quantity of a good that a single person will buy at each price in a market.
demand schedule
market demand schedule
elasticity chart
supply and demand graph
27. Multiple Choice
30 seconds
1 pt
Generally speaking, the lower the price, the greater the quantity demand.
True
False
28. Multiple Choice
30 seconds
1 pt
For the law of demand, as price rises, what happens to quantity demanded?
it goes up
it goes down
it stays the same
it is not effected
29. Multiple Choice
30 seconds
1 pt
For the law of supply, as price rises, what happens to quantity supplied?
it goes up
it goes down
it stays the same
it is not effected
30. Multiple Choice
1 minute
1 pt
If sandals suddenly became very popular, what would happen to the market for basketball shoes? This would cause the ___________ curve for basketball shoes to shift ____________.
demand.........right
demand.........left
supply.......right
supply....... left
31. Multiple Choice
1 minute
1 pt
If Michael Jordan did advertisements for Steak and Shake, this would cause the ___________ curve for Steak and Shake to shift ____________.