Econ Essay

4124 words - 17 pages

1. Improvements in technology for producing all goods must result in
(A) an inward shift in the production possibilities curve
(B) an outward shift in the production possibilities curve
(C) a flatter production possibilities curve
(D) a steeper production possibilities curve
(E) greater unemployment of labor

2. The quantity of peanuts supplied increased from 40 tons per week to 60 tons per week when the price of peanuts increased from $4 per ton to
$5 per ton. The price elasticity of supply for peanuts over this price range is
(A) Elastic
(B) Inelastic
(C) unit elastic
(D) perfectly elastic
(E) perfectly inelastic

3. Which of the following ...view middle of the document...

(D) The quantity demanded would increase.
(E) The supply of the good would increase.

7. Which of the following must be true if a firm is experiencing economies of scale?
(A) All costs are explicit.
(B) Long-run average total cost decreases as the
firm’s output increases.
(C) Economic profits decrease as the firm’s
output increases.
(D) Long-run average total cost remains constant
as the firm’s output decreases.
(E) Proportionate increases in inputs result in less-than-proportionate increases in output.

8. Compared to a perfectly competitive industry with the same demand and cost curves, a monopoly’s price and output will be which of the following?
| Price | Output |
(A) | The same | Higher |
(B) | Higher | The same |
(C) | Higher | Lower |
(D) | Lower | The same |
(E) | Lower | Higher |

9. If the demand for a good is perfectly price inelastic in the short run and the supply curve is upward sloping, imposing a sales tax on the good will
(A) leave the price paid by consumers unchanged
(B) decrease the after-tax revenues received by
suppliers
(C) increase the after-tax revenues received by
suppliers
(D) not change the after-tax revenues received
by suppliers
(E) not change the total expenditures by consumers on the good

10. The characteristic of oligopolistic firms that makes them different from all other types of firms is that oligopolistic firms
(A) are regulated by a state agency or federal agency
(B) consider each other’s decisions
(C) advertise their products
(D) produce differentiated products
(E) produce identical products

11. For the firm shown in the graph above, the short-run, profit-maximizing strategy would be to set output at
(A) Q1, price at P1, and suffer a loss
(B) Q1, price at P3, and earn an economic profit
(C) Q1, price at P3, and earn only a normal profit
(D) Q2, price at P2, and earn an economic profit
(E) Q2, price at P2, and earn only a normal profit

12. Which of the following will tend to make the demand for a product more elastic?
(A) New firms which produce similar products enter the industry.
(B) A change in taste and preferences makes the product more desirable.
(C) The product is necessary for use with a complement.
(D) Production of the product is protected by a patent.
(E) Production cost of the product decreases.

13. In a perfectly competitive labor market, an increase in an effective minimum wage will result in
(A) an increase in the supply of workers
(B) a decrease in the supply of workers
(C) a decrease in the demand for workers
(D) more workers being hired
(E) fewer workers being hired

14. Which of the following taxes contributes most to decreasing inequality in the distribution of income?
(A) Progressive income taxes
(B) Sales taxes
(C) Proportional income taxes
(D) Excise taxes
(E) Import tariffs on...

Other assignments on Econ

Econ Essay

1447 words - 6 pages 1. Determining changes in equilibrium price and quantity for a perfectly competitive industry given changes in demand and/or supply (Ch. 2, p. 60-65; Class Notes) A. Graphical analysis given demand and supply curves a) While there is increased awareness of Vitamin C available from orange juice, a hard, freezing winter occurs in most of the orange producing areas. Demand increases while supply decreases. b

Econ Essay

952 words - 4 pages 4. All of the following are example of entry barriers, except a. Government protection through pattern or licensing requirements. b. Strong brands c. Low capital requirements for entry d. Lower costs driven by economies of scale 7. If a firm successfully adopts a product differentiation strategy, what should happen to the elasticity of demand for its product? a. Increase b. Decrease c. Become unit elastic d. Is unaffected 10- 6 Salons

Econ 308 Midterm

2720 words - 11 pages Econ 308 Midterm (Average Revenue) (Marginal Revenue) 1.) a.) # Of Operations | Total Harvest | Average Harvest | Marginal Harvest | Marginal Profit 0 0 0 0 0 1 40 40 40 15 2 75 37.5 35 10 3 105 35 30 5 4 130 32.5 25 0 5 150 30 20 -5 6 165

Econ 545 - Project 1

3096 words - 13 pages Deandra Romanoff ECON 545 May 25th, 2014 It is indeed very lucrative for potential owners to purchase gas stations in our current economic condition where gas prices are at sky high, especially in places where public transportation is scarce. On average, the whole United States have faced an increased in gas prices nearly 5 cents from March 21st, 2014 to April 4th, 2014 (Reuters, 2014). According to Reuters, Lundberg survey has shown that

Devry Econ 545 Entire Course

434 words - 2 pages This document of DEVRY ECON 545 Entire Course consists of: DEVRY ECON 545 Week 1 DQs 1 Supply and Demanв DEVRY ECON 545 Week 1 DQs 2 Elasticity and the Minimum Wage DEVRY ECON 545 Week 2 DQs 1 Marginal Analysis DEVRY ECON 545 Week 2 DQs 2 Controlling Costs DEVRY ECON 545 Week 2 Project Part 1 DEVRY ECON 545 Week 3 DQs 1 Mergers Acquisitions DEVRY ECON 545 Week 3 DQs 2 Anti-Trust Policy and Microsoft DEVRY ECON

Econ 130

1462 words - 6 pages Chapter 1: The Core Issues Dr. Yu ECON130 Principles of Microeconomics What Is the Economy? 1. The Economy is us. 2. It is the grand sum of all our production and consumption activities. 3. For the United States, it is the collective behavior of the 320 million individuals who participate in it. The Core Issues The purpose of an economy is to produce goods and services that satisfy peoples’ wants using the limited

Econ 550

400 words - 2 pages Income Statements | 2012 | 2013 | Sales | $3,432,000 | $5,834,400 | Cost of goods sold except depr. | 2,864,000 | 4,980,000 | Depreciation and amortization | 18,900 | 116,960 | Other expenses | 340,000 | 720,000 | Total operating costs | $3,222,900 | $5,816,960 | EBIT | $209,100 | $17,440 | Interest expense | 62,500 | 176,000 | EBT | $146,600 | ($158,560) | Taxes (40%) | 58,640 | -63,424 | Net

Econ 2450

1205 words - 5 pages PRACTICE QUESTIONS QUESTION 1: Consider a government that is contemplating introducing a gasoline tax to reduce gasoline consumption together with a (lump-sum) rebate to consumers to alleviate the negative e ect of the gasoline tax on their well-being. Use an indi erence curve map for two goods (gasoline and other goods) to show (a) the equilibrium if the rebate is based on the nal (post-tax) consumption of gasoline, (b) the equilibrium

Econ Final

3205 words - 13 pages * The date when you finished the final exam: December 13 2013 You are advised to print a copy of this exam and read it prior to taking it. Make sure you have a word processor to use during the above dates (at home or work, in a lab or a public library, etc.). Do not use the small textbox to write your answers in WebTycho. Send me the electronic file with your answers as an attachment through the Assignments link! Please do not delete the

Econ Crap

760 words - 4 pages How To Reduce Federal Deficits Like most Americans I want to educate myself in ways to reduce the deficit of this nation so I can sleep more sound at night. U.S. federal deficits should be reduced by cutting certain entitlement programs, implementing privatization, and increasing taxes on the rich. In this essay, I will provide hard facts that will not only reduce federal deficits, but also increase productivity and employment. These are

Econ Tutorial

828 words - 4 pages UNIVERSITY OF TECHNOLOGY, JAMAICA SCHOOL OF BUSINESS ADMINSTRATION ECO 1001: INTRODUCTION TO MICROECONOMICS TUTORIAL #1 1. Which of the following is the best definition of economics? a) The study of how individuals and societies choose to use the scarce resources that nature and previous generations have provided. b) The study of how consumers spend their income. c) The study of how business firms decide what inputs

Similar Documents

Econ Essay

352 words - 2 pages Associate Level Material Appendix B Price Elasticity and Supply & Demand Fill in the matrix below and describe how changes in price or quantity of the goods and services affect either supply or demand and the equilibrium price. Use the graphs from your book and the Tomlinson video tutorials as a tool to help you answer questions about the changes in price and quantity |Event |Market affected by event

Econ Essay 1824 Words

1824 words - 8 pages Econ545 Paper Business Economics GM545 Spring 2011 Everyone’s Gasoline Problem. We are all familiar with fluctuating prices of gasoline at the pump. Why does this happen? Research the recent history of gasoline pricing in your area, and attempt to relate any fluctuations you observe to documented supply and demand factors, as outlined in our book. By the end of the 6-week period of November 19th –December 31, gas prices in Chicago had risen

Econ Essay 761 Words

761 words - 4 pages Assume that a cargo ship carrying the merchandise of a cloth merchant has been wrecked. Such a setback will be accounted as the merchant’s: Part I: Choose the one alternative that best completes the statement or answers the question. (1 Point each) 1. Which of the following is a positive statement? a. Heavy snowfall drives up the demand for heaters. b. Fiscal expenditures should be increased to combat recession. c. Government should

Econ Essay 290 Words

290 words - 2 pages opic: Some economists support higher minimum wage whereas some don't. What is your opinion? Minimum wage should be outlawed for the disruption it creates in the economy because it makes jobs just as valuable to workers depending on wage, hinders certain industry from growing as fast as others, and removes the honesty of wage based on performance. For non-related industries such as gardening and law enforcement, workers get paid at a minimum