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1. (TCO 1) Opportunity cost is best defined as (Points : 4) marginal cost minus marginal benefit. the time spent on an economic activity.------- the value of the best forgone alternative. the money cost of an economic decision. 2. (TCO1) Which of the following is considered to be an entrepreneur? (Points : 4) -------- Self-employed person MBA graduate hired by a firm to be its CEO Production-line worker Customer of a firm 3. (TCO1) A point on the production possibilities curve is (Points : 4) attainable and resources are fully employed.------- attainable, but resources are unemployed. unattainable, but resources are unemployed. unattainable and resources are fully employed. 4. (TCO1) A basic characteristic of a command system is that (Points : 4) wages paid to labor are higher.---------- government owns most economic resources. free markets are never permitted in a command economy. government planners play a limited role in deciding what goods will be produced. 5. (TCO 2) The demand curve is a representation of the relationship between the quantity of a product demanded and (Points : 4) supply. wealth.------- price. income. 6. (TCO 2) A decrease in supply and a decrease in demand will (Points : 4) increase price and affect the equilibrium quantity in an indeterminate way. decrease the equilibrium quantity and decrease price. increase the equilibrium quantity and affect price in an indeterminate way.... View Full Document

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