Which of the following best describes scarce resources?
(Ans- resources for which the quantity that people want exceeds the
quantity that is freely available
Economic reasoning implies that economic agents will make deci
...
Which of the following best describes scarce resources?
(Ans- resources for which the quantity that people want exceeds the
quantity that is freely available
Economic reasoning implies that economic agents will make decisions:
(Ans- by comparing the costs and benefits of various options
Which of following statements correctly highlights the difference
between micro and macro
(Ans- micro deals with small parts of the economy, whereas macro
deals with aggregate economic performance
Which of the following statements is true of optimization
(Ans- economic agents who optimize attempt to choose the best
feasible option, given the information that they have
A student has two options: she can either surf the web, or work parttime. Working part-time pays her $20 per hour. What is the student's
opportunity cost of surfing the web for 5 hours?
(Ans- $100Suppose the market for cement is such that the govt. does not interfere
in price determination but plays an important role in the provision of
property rights. While there are a large number of buyers and sellers,
everyone conducts transactions at a common market price. Which of
the following statements is true about the structure of the cement
market?
(Ans- the cement market is free and competitive
Assume that a seller in a perfectly competitive market charges more
than the equilibrium price. It is likely that the seller will:
(Ans- lose almost all of his buyers
The demand curve for most goods is normally:
(Ans- downward sloping
Which of the following factors will not cause a shift in the demand for a
good?
(Ans- a change in the market price of a good
Which of the following is likely to lead to a right shift in the supply curve
of cotton?
(Ans- an increase in labor productivity due to training programsAssume that a worker in a technology firm can produce 3 circuit boards
in an hour. Due to subsequent innovation, he is now able to produce 6
circuit boards per hour. Other things remaining the same, the firm's
supply curve is likely to:
(Ans- shift to the right
______ is the market value of the final goods and services produced
within the borders of a country during a particular period of time
(Ans- Gross Domestic Product
Double counting occurs when:
(Ans- inputs are included in the calculation of the gross domestic
product
Which of the following will be included in the calculation of GDP using
expenditure method?
(Ans- investments in machineries
Which of the following will be included in the calculation of GDP using
the income-based method?
(Ans- health insurance provided to a worker by the employerJohn is a U.S. citizen who brought a house in Canada. This purchase will
lead to a _____
(Ans- increase in the GDP of Canada
[Show More]
