TEST BANK 2024|2025 Principles of Microeconomics Test Item File 2 Ninth Edition by Case/Fair/Oster |newest edition 2024|2025.TEST BANK 2024|2025 Principles of Microeconomics Test Item File 2 Ninth Edition by Case/Fair/Oster |newest edition 2024|2025.TEST BANK 2024|2025 Principles of Microecono...
,Contents
Chapter 1
ju The Scope and Method of Economics
ju ju ju ju ju 1
Chapter 2
ju The Economic Problem: Scarcity and Choice
ju ju ju ju ju 29
Chapter 3
ju Demand, Supply, and Market Equilibrium
ju ju ju ju 55
Chapter 4
ju Demand and Supply Applications
ju ju ju 98
Chapter 5
ju Elasticity 117
Chapter 6
ju Household Behavior and Consumer Choice ju ju ju ju 135
Chapter 7
ju The Production Process: The Behavior of Profit-Maximizing Firms
ju ju ju ju ju ju ju 171
Chapter 8
ju Short-Run Costs and Output Decisionsju ju ju ju 207
Chapter 9
ju Long-Run Costs and Output Decisions ju ju ju ju 252
Chapter 10
ju Input Demand: The Labor and Land Markets
ju ju ju ju ju ju 292
Chapter 11
ju Input Demand: The Capital Markets and Investment Decision
ju ju ju ju ju ju ju 323
Chapter 12
ju General Equilibrium and the Efficiency of Perfect Competition
ju ju ju ju ju ju ju 348
Chapter 13
ju Monopoly and Antitrust Policy ju ju ju 377
Chapter 14
ju Oligopoly 425
Chapter 15
ju Monopolistic Competition ju 449
Chapter 16
ju Externalities, Public Goods, Imperfect ju ju ju
Information,and Social Choice
ju ju ju ju 476
Chapter 17
ju Uncertainty and Asymmetric Information ju ju ju 517
Chapter 18
ju Income Distribution and Poverty
ju ju ju 535
Chapter 19
ju Public Finance: The Economics of Taxation
ju ju ju ju ju 563
Chapter 20
ju International Trade, Comparative Advantage, and Protectionism
ju ju ju ju ju 592
Chapter 21
ju Economic Growth in Developing and Transitional Economies
ju ju ju ju ju ju 628
,Chapter 1 The Scope and Method of Economics
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1.1 Why Study Economics?
ju ju
1 Multiple Choice
ju
1) The reasons to study economics include which of the following?
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A) to be an informed voter ju B) to understand society and global affairs
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C) to learn a way of thinking
ju ju D) all of the ju ju ju ju ju ju ju
above Answer: D
ju ju j u
Diff: 1 ju
Topic: Why Study j u ju
Economics?Skill: Fact
ju ju j u
2) Marginalism is ju
A) the best alternative that we forego when making a decision.
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B) the study of how societies choose to use scarce resources.
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C) a market situation in which profit opportunities are eliminated almost instantaneously.
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D) the process of analyzing the additional costs or benefits arising from a
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ju decision.Answer: D ju j u
Diff: 1 ju
Topic: Why Study j u ju
Economics?Skill: Definition
ju ju j u
3) Economics is best defined as the study of ju ju ju ju ju ju ju
A) financial decision-making. j u
B) how consumers make purchasing decisions. ju j u j u j u
C) choices made by people faced with scarcity. ju ju ju ju ju ju
D) inflation, unemployment, and economic j u j u j u
j u growth.Answer: C ju j u
Diff: 2 ju
Topic: Why Study j u ju
Economics?Skill: Definition
ju ju j u
4) The Industrial Revolution refers to the rise of the modern factory system in
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duringthe late eighteenth and early nineteenth centuries.
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A) the United States ju B) England ju ju
C) France ju D) Germany ju
Answer: B ju
Diff: 1 ju
Topic: Why Study j u ju
Economics?Skill: Fact
ju ju j u
1
, 5) Which of the following statements is correct?
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A) Economics is a natural science. ju ju ju ju
B) In large measure, economics is the study of how people make choices.
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C) If poverty was eliminated there would be no reason to study economics.
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D) Economic analysis can be used to explain how societies, but not individuals, ju ju ju ju ju ju ju ju ju ju ju
makedecisions.
ju ju
Answer: B ju
Diff: 1 ju
Topic: Why Study j u ju
Economics?Skill: Fact
ju ju j u
6) Economics is the study of ju ju ju ju
A) how to invest in the stock market. ju ju ju ju ju ju
B) how society uses limited resources. ju ju ju ju
C) the role of money in markets. ju ju ju ju ju
D) how government officials decide which goods and services are
ju ju ju ju ju ju ju ju
ju produced.Answer: B ju j u
Diff: 2 ju
Topic: Why Study j u ju
Economics?Skill: Definition
ju ju j u
7) Costs that cannot be avoided, because they have already been incurred are known as
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A) differential costs. B) marginal costs. ju ju ju
C) opportunity costs.
ju D) sunk ju ju
ju costs.Answer: D ju j u
Diff: 2 ju
Topic: Why Study j u ju
Economics?Skill: Definition
ju ju j u
8) Suppose that two weeks ago you purchased a ticket to the symphony for $40. Last week
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jusomeone invited you to go camping on the same night as the symphony concert. You
ju ju ju ju ju ju ju ju ju ju ju ju ju ju
juwouldmuch rather go camping than go to the symphony. You have tried unsuccessfully
ju ju ju ju ju ju ju ju ju ju ju ju ju
juto sell the symphony concert ticket. Which of the following statements regarding this
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jusituation is correct? ju ju
A) The $40 symphony ticket should be irrelevant in your decision making,
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because itrepresents the marginal cost of going camping.
ju ju ju ju ju ju ju ju ju
B) The $40 you paid for the symphony ticket should be irrelevant in your decision
ju ju ju ju ju ju ju ju ju ju ju ju ju
making,because it is a sunk cost.
ju ju ju ju ju ju ju
C) The $40 you paid for the symphony ticket is relevant to the decision, as this
ju ju ju ju ju ju ju ju ju ju ju ju ju ju
representsthe opportunity cost of going camping.
ju ju ju ju ju ju ju
D) You should base your decision on whether or not going camping will provide
ju ju ju ju ju ju ju ju ju ju ju ju
you withmore than $40 in satisfaction.
ju ju ju ju ju ju ju
Answer: B ju
Diff: 2 ju
Topic: Why Study j u ju
Economics?Skill: Conceptual
ju ju j u
AACSB: Reflective Thinking ju ju
2
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