Causes of market failure include:

Externalities and market power.

Externalities and foreign competition.

Market power and incorrect forecasts of consumer demand.

Incorrect forecasts of consumer demand and foreign competition.

Changes in real GDP reflect

Only changes in the amounts being produced.

Both changes in prices and changes in the amounts being produced.

Neither changes in prices nor changes in the amounts being produced.

Measured using the demand curve for a product.

Does not reflect economic well-being in most markets.

Closely related to the supply curve for a product.

Represented by a rectangle on a supply-demand graph when the demand curve is a straight, downward-sloping line.

Consumer surplus is equal to the

Value to buyers - amount paid by buyers.

Value to buyers - willingness to pay of buyers.

Amount paid by buyers - costs of sellers.

Value to buyers - costs of sellers.

Countries that pursued outward-oriented policies in the 20th century

Include Singapore, South Korea, and Taiwan.

Experienced higher levels of political instability than did countries that pursued inward-oriented policies.

Experienced lower rates of economic growth than did countries that pursued inward-oriented policies.

Country A and country B are the same except country A has a capital stock of 5,000 a population of 12,000 and employment of 10,000. Country B has a capital stock of 8,000 and a population of 24,000 and employment of 20,000.

Country A has a higher standard of living but country B will catch up.

Country A has a higher standard of living and country B will not catch up.

Country B has a higher standard of living but country A will catch up.

Country B has a higher standard of living and country A will not catch up.

Double counting can be avoided by

not counting the value of intermediate goods in GDP.

including the value of intermediate goods in the current year.

including the value of intermediate goods in the GNP but not in the GDP.

including the value of intermediate goods in the production year but not in the selling year of those goods.

Economic fluctuations are:

Change in economic growth rate over time

Change in domestic output over time

Change in unemployment rate over time

Change in inflation rate over time

Economic growth is best defined as:

An increase in the nation’s output (real GDP) over time.

An increase in the nation’s consumption.

An increase in the nation’s savings rate.

An increase in the nation’s population.

Are usually composed of diagrams and equations.

Are useful because they do not omit any real-world details.

Are usually plastic representations of the economy.

Are not useful because they omit many real-world details.

Economics is the study of:

How society uses limited resources.

How government officials decide which goods and services are produced.

How to invest in the stock market.

Economists, like mathematicians, physicists, and biologists,

Try to address their subject with a scientist's objectivity.

Make use of the scientific method.

Devise theories, collect data, and then analyze these data in an attempt to verify or refute their theories.

Evidence from hyperinflation episodes shows that money growth and inflation

Are positively related, consistent with the quantity theory of money.

Have no clear relationship, inconsistent with the quantity theory of money.

Have no clear relationship, consistent with the quantity theory of money.

Are positively related, inconsistent with the quantity theory of money.

Following a prolonged power outage, the price of flashlights normally increases significantly. If cities had passed laws prohibiting price increases for flashlights, during power outages such laws would most likely

Create a shortage of flashlights.

Make flashlights more available.

Shift the supply curve for flashlights to the left.

Shift the demand curve for flashlights to the right.

For a competitive market, sellers must accept

The price determined by the market

Whatever price the buyers offer

For a particular product, an effective price ceiling results in:

Quantity demanded greater than quantity supplied.

Quantity demanded equal to quantity supplied.

Quantity supplied greater than quantity demanded.

For a particular product, an effective price floor results in:

Quantity supplied greater than quantity demanded

Quantity demanded greater than quantity supplied.

Quantity demanded equal to quantity supplied.

Frictional unemployment refers to:

Unemployment due to the time it takes workers to find a job.

Unemployment due to changes in the structure of the economy.

Unemployment due to economic downturns.

Unemployment due to workers’ lack of skills.

The value of goods and services produced at home.

The quality of the environment.

Generally, a firm is more willing and able to increase quantity supplied in response to a price change when

The relevant time period is long rather than short.

The relevant time period is short rather than long.

The firm is experiencing capacity problems.

GNP differs from GDP in that GNP

is calculated based on the total value of all goods and services produced by a country's residents.

excludes foreign investment income.

ncludes government expenditures.

GNP is a more comprehensive measure of a country's economic output because it

includes the total income earned by a country's residents, regardless of location.

accounts for the value of goods and services produced within a country's borders.

considers only domestic production.

Government purchases include spending on goods and services by

Federal, state, and local governments.

Federal and state governments, but not by local governments.

Federal, state, and local governments, as well as household spending by employees of those governments.

The federal government, but not by state or local governments.

Gross national product (GNP) includes

the total value of all goods and services produced by a country's residents, regardless of location.

all final goods and services produced within a country's borders.

government spending on goods and services.

Ham and eggs are complements. If the price of ham rises, the demand for eggs will

Decrease and the demand curve for eggs will shift leftward.

Increase or decrease but the demand curve for ham will not change.

Decrease and the demand curve for ham will shift rightward.

Not change but there will be a movement along the demand curve for eggs.

Hamburgers and french fried headsets are complements. An increase in the price of french fried would cause which of the following in the market for hamburgers?

The equilibrium price and quantity of hamburgers would decrease.

The equilibrium price and quantity of hamburgers would increase.

The equilibrium price of hamburgers would decrease and the equilibrium quantity would increase.

The equilibrium price of hamburgers would increase and the equilibrium quantity would decrease.

High-school athletes who skip college to become professional athletes

Understand that the opportunity cost of attending college is very high.

Usually do so because they cannot get into college.

Are not making a rational decision since the marginal benefits of college outweigh the marginal costs of college for high-school athletes.

Obviously do not understand the value of a college education.

Phần 2 Introduction to Economics

Authored by Lam (Nilliam)

Financial Education

University

Used 2+ times

AI Actions

Add similar questions

Adjust reading levels

Convert to real-world scenario

Translate activity

More...

Content View
Student View

50 questions

Show all answers

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

An increase in price causes an increase in total revenue when

All of the answer are possible.

Demand is unit elastic.

Demand is inelastic.

Demand is elastic.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

An increase in technology for producing personal computers leads to

A decrease in the supply of personal computers.

A decrease in the demand for personal computers.

An increase in the supply of personal computers.

An increase in the demand for personal computers.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

An uptick in the cost of imported coffee appears

In the consumer price index, but not in the gdp deflator.

In neither the consumer price index nor in the gdp deflator.

In the gdp deflator, but not in the consumer price index.

In the consumer price index and in the gdp deflator.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

As a result of an increase in the supply of a good and no change in demand, the equilibrium quantity and the equilibrium price .

Increases; falls

Increases; rises

Decreases; rises

Decreases; falls

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Decreases; falls

Increasing the demand for The Alley milk-tea and therefore the price of The Alley milk-tea.

Decreasing the demand for The Alley milk-tea and therefore the price of The Alley milk-tea.

Increasing the supply of The Alley milk-tea and therefore the price of The Alley milk-tea.

Increasing the demand for The Alley milk-tea and therefore the supply of The Alley milk-tea.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Ben bakes bread, and Shawna knits sweaters. In which of the following cases is it impossible for both to benefit from trade?

Both ben and shawna can benefit from trade in all cases.

Ben is better than shawna at baking bread, and shawna is better at knitting sweaters.

Ben is better at baking bread and knitting sweaters.

Ben cannot knit sweaters, and shawna cannot bake bread.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Caroline sharpens knives in her spare time for extra income. Buyers of her service are willing to pay $2.95 per knife for as many knives as Caroline is willing to sharpen. On a particular day, she is willing to sharpen the first knife for $2.00, the second knife for $2.25, the third knife for $2.75, and the fourth knife for $3.50. Assume Caroline is rational in deciding how many knives to sharpen. Her producer surplus is

$1.30.

$0.95.

$1.15.

$1.85

Access all questions and much more by creating a free account

Create resources

Host any resource

Get auto-graded reports

Continue with Google

Continue with Email

Continue with Microsoft

or continue with

Facebook

Apple

Others

By signing up, you agree to our Terms of Service & Privacy Policy

Already have an account?

Similar Resources on Wayground

50 questions

Finance Management

Quiz

•

University

50 questions

Principles of Accounting

Quiz

•

University

48 questions

Financial Institutions and Concepts

Quiz

•

12th Grade - University

53 questions

CHAPTER 1 - qtkd

Quiz

•

University

50 questions

Phần 1 Introduction to Economics

Quiz

•

University

50 questions

Quiz Pengetahuan Perbankan

Quiz

•

University

47 questions

Personal Finance Unit 2 Review

Quiz

•

10th Grade - University

Popular Resources on Wayground

21 questions

Continents and Oceans

Quiz

•

6th Grade

20 questions

Parts of Speech

Quiz

•

5th Grade

16 questions

Subject & Predicate

Quiz

•

5th Grade

25 questions

Multiplication Facts

Quiz

•

5th Grade

12 questions

Map Skills

Quiz

•

3rd Grade

22 questions

Continents and Oceans

Quiz

•

5th Grade

15 questions

Rounding Decimals

Quiz

•

5th Grade

20 questions

Brand Labels

Quiz

•

5th - 12th Grade

Discover more resources for Financial Education

20 questions

Disney Trivia

Quiz

•

University

10 questions

Spanish Greetings and Goodbyes!

Presentation

•

6th Grade - University

20 questions

Preterito vs. Imperfecto

Quiz

•

KG - University

15 questions

TOEFL Structure - TEST 2

Quiz

•

University

25 questions

Cell Transport

Quiz

•

KG - University

40 questions

Flags of the World

Quiz

•

KG - Professional Dev...

4 questions

Exit ticket for the end of class: Spotlight

Quiz

•

KG - Professional Dev...

12 questions

Hurricane or Tornado

Quiz

•

3rd Grade - University

Phần 2 Introduction to Economics

An increase in price causes an increase in total revenue when

An increase in technology for producing personal computers leads to

An uptick in the cost of imported coffee appears

As a result of an increase in the supply of a good and no change in demand, the equilibrium quantity ______ and the equilibrium price ______.

Decreases; falls

Ben bakes bread, and Shawna knits sweaters. In which of the following cases is it impossible for both to benefit from trade?

Causes of market failure include:

Changes in real GDP reflect

Access all questions and much more by creating a free account

Similar Resources on Wayground

Popular Resources on Wayground

Discover more resources for Financial Education

As a result of an increase in the supply of a good and no change in demand, the equilibrium quantity and the equilibrium price .