内容发布更新时间 : 2024/7/3 19:10:02星期一 下面是文章的全部内容请认真阅读。

ECON 2803

Test 1

Spring 2010

____ 1.

____ 2.

____ 3.

____ 4.

____ 5.

____ 6.

____ 7.

Multiple Choice

Identify the letter of the choice that best completes the statement or answers the question.

When a society cannot produce all the goods and services people wish to have, it is said that the economy is experiencing a. scarcity. b. surpluses. c. inefficiencies. d. inequalities.

As a result of a successful attempt by government to cut the economic pie into more equal slices, a. it is easier to cut the pie, and therefore the economy can produce a larger pie. b. those who earn more income pay less in taxes.

c. the pie gets smaller, and there will be less pie overall.

d. government will spend too much time cutting and it causes the economy to lose the ability

to produce enough pie for everyone. The opportunity cost of going to college is

a. the total spent on food, clothing, books, transportation, tuition, lodging, and other

expenses.

b. the value of the best opportunity a student gives up to attend college.

c. zero for students who are fortunate enough to have all of their college expenses paid by

someone else.

d. zero, since a college education will allow a student to earn a larger income after

graduation.

Government policies can change the costs and benefits that people face. Those policies have the potential to a. alter people’s behavior.

b. alter people’s decisions at the margin.

c. produce results that policymakers did not intend. d. All of the above are correct.

The \a. advertising. b. prices.

c. central planning.

d. government regulations.

Economists face an obstacle that many other scientists do not face. What is that obstacle? a. It is often difficult to formulate theories in economics.

b. It is often difficult and sometimes impossible to perform experiments in economics. c. Economics cannot be addressed objectively; it must be addressed subjectively. d. The scientific method cannot be applied to the study of economics. Economic models are built with

a. recommendations concerning public policies. b. facts about the legal system. c. assumptions.

d. statistical forecasts.

____

____

____

____

____

8. Which of the following statements about the circular-flow diagram is correct?

a. One must imagine that the economy operates without money in order to make sense of the

diagram.

b. The diagram leaves out details that are not essential for understanding the economic

transactions that occur between households and firms.

c. The government cannot be excluded as a decision maker in a circular-flow diagram. d. All of the above are correct.

9. In the markets for goods and services in the circular-flow diagram,

a. households and firms are both buyers. b. households and firms are both sellers.

c. households are buyers and firms are sellers. d. households are sellers and firms are buyers.

10. Any point on a country's production possibilities frontier represents a combination of two goods that an

economy

a. will never be able to produce.

b. can produce using all available resources and technology.

c. can produce using some portion, but not all, of its resources and technology.

d. may be able to produce in the future with more resources and/or superior technology. 11. If an economy is producing efficiently, then

a. there is no way to produce more of one good without producing less of another good.

b. it is possible to produce more of both goods without increasing the quantities of inputs that

are being used.

c. it is possible to produce more of one good without producing less of another good. d. it is not possible to produce more of any good at any cost.

12. Production possibilities frontiers are usually bowed outward. This is because

a. the more resources a society uses to produce one good, the fewer resources it has available

to produce another good.

b. it reflects the fact that the opportunity cost of producing a good decreases as more and

more of that good is produced.

c. of the effects of technological change.

d. resources are specialized; that is, some are better at producing particular goods rather than

other goods.

Figure 2-6

barrels45403530252015105246810121416bathtubsADCBGF

____ 13. Refer to Figure 2-6. This economy has the ability to produce at which point(s)?

a. A, B b. A, B, D

c. A, B, C, F, G d. C, F, G

____ 14. Refer to Figure 2-6. Efficient production is represented by which point(s)?

a. A, B

b. A, B, C, F, G c. C, F, G d. D

____ 15. Refer to Figure 2-6. What is the opportunity cost of moving from point A to point B?

a. zero

b. 6 bathtubs

c. 6 bathtubs and 15 barrels d. 15 barrels

____ 16. Regan grows flowers and makes ceramic vases. Jayson also grows flowers and makes ceramic vases, but

Regan is better at producing both goods. In this case, trade could a. benefit both Jayson and Regan. b. benefit Jayson, but not Regan. c. benefit Regan, but not Jayson. d. benefit neither Jayson nor Regan.

____ 17. An economy’s production possibilities frontier is also its consumption possibilities frontier

a. under all circumstances. b. under no circumstances.

c. when the economy is self-sufficient.

d. when the rate of tradeoff between the two goods being produced is constant.

____ 18. If Shawn can produce more donuts in one day than Sue can produce in one day, then

a. Shawn has a comparative advantage in the production of donuts. b. Sue has a comparative advantage in the production of donuts. c. Shawn has an absolute advantage in the production of donuts. d. Sue has an absolute advantage in the production of donuts.

____ 19. Specialization and trade are closely linked to

a. absolute advantage. b. comparative advantage.

c. gains to some traders that exactly offset losses to other traders. d. shrinkage of the economic pie.

____ 20. Trade between countries

a. allows each country to consume at a point outside its production possibilities frontier. b. limits a country’s ability to produce goods and services on its own.

c. must benefit both countries equally; otherwise, trade is not mutually beneficial. d. can best be understood by examining the countries’ absolute advantages.

Table 3-7

Assume that Japan and Korea can switch between producing cars and producing airplanes at a constant rate. Hours Needed Quantity Produced to Make 1 in 2400 Hours Car Airplane Cars Airplanes Japan 30 150 80 16 Korea 50 150 48 16