Question 1

Figure 2-1 
-Refer to Figure 2-1.Which arrow represents the flow of income payments?

Accepted Answer

A)   A
B)   B
C)   C
D)   DE) A) and B)
F) A) and C)

Question 2

Figure 2-4 
-Refer to Figure 2-4.The opportunity cost of obtaining 20 additional lamps by moving from point W to point V is

Accepted Answer

A)   0 notepads.
B)   10 notepads.
C)   50 notepads.
D)   None of the above;the economy cannot move from point W to point V.E) A) and D)
F) B) and D)

Question 3

Normative statements describe how the world is,while positive statements prescribe how the world should be.

Accepted Answer

A) True 
 B)False

Question 4

An outcome is said to be efficient if an economy is getting all it can from the scarce resources it has available.

Accepted Answer

A) True 
 B)False

Question 5

The x-coordinate is the

Accepted Answer

A)   first number of an ordered pair and represents the point's horizontal location.
B)   second number of an ordered pair and represents the point's horizontal location.
C)   first number of an ordered pair and represents the point's vertical location.
D)   second number of an ordered pair and represents the point's vertical location.E) B) and C)
F) None of the above

Question 6

For economists,substitutes for laboratory experiments often come in the form of

Accepted Answer

A)   natural experiments offered by history.
B)   untested theories.
C)   "rules of thumb" and other such conveniences.
D)   reliance upon the wisdom of elders in the economics profession.E) B) and C)
F) None of the above

Question 7

In the markets for the factors of production in the circular-flow diagram,households are buyers and firms are sellers.

Accepted Answer

A) True 
 B)False

Question 8

It is possible for an economy to increase its production of both goods if the economy

Accepted Answer

A)   moves downward and to the right along its production possibilities frontier and the frontier is bowed outward.
B)   moves upward and to the left along its production possibilities frontier and the frontier is bowed outward.
C)   moves in either direction along its production possibilities frontier and the frontier is a straight line.
D)   moves from a situation of inefficient production to a situation of efficient production.E) A) and D)
F) B) and C)

Question 9

Figure 2-3 
-Refer to Figure 2-3.Unemployment could cause this economy to produce at which point(s) ?

Accepted Answer

A)   J,L
B)   J,L,M
C)   K,N
D)   ME) None of the above
F) B) and D)

Exam 2: Thinking Like an Economist

The x-coordinate is the

Correct Answer
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It is possible for an economy to increase its production of both goods if the economy

Correct Answer
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For economists,substitutes for laboratory experiments often come in the form of

Correct Answer
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Figure 2-4 -Refer to Figure 2-4.The opportunity cost of obtaining 20 additional lamps by moving from point W to point V is

Correct Answer
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In the markets for the factors of production in the circular-flow diagram,households are buyers and firms are sellers.

Correct Answer
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Figure 2-3 -Refer to Figure 2-3.Unemployment could cause this economy to produce at which point(s) ?

Correct Answer
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Figure 2-1 -Refer to Figure 2-1.Which arrow represents the flow of income payments?

Correct Answer
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Normative statements describe how the world is,while positive statements prescribe how the world should be.

Correct Answer
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An outcome is said to be efficient if an economy is getting all it can from the scarce resources it has available.

Correct Answer
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Exam 2: Thinking Like an Economist

The x-coordinate is the

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It is possible for an economy to increase its production of both goods if the economy

Correct AnswerverifiedShow Answer

For economists,substitutes for laboratory experiments often come in the form of

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Figure 2-4 -Refer to Figure 2-4.The opportunity cost of obtaining 20 additional lamps by moving from point W to point V is

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In the markets for the factors of production in the circular-flow diagram,households are buyers and firms are sellers.

Correct AnswerverifiedShow Answer

Figure 2-3 -Refer to Figure 2-3.Unemployment could cause this economy to produce at which point(s) ?

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Figure 2-1 -Refer to Figure 2-1.Which arrow represents the flow of income payments?

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Normative statements describe how the world is,while positive statements prescribe how the world should be.

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An outcome is said to be efficient if an economy is getting all it can from the scarce resources it has available.

Correct AnswerverifiedShow Answer

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