Practice+Final

Practice+Final - Practice Final Multiple Choice Identify...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Practice Final Multiple Choice Identify the letter of the choice that best completes the statement or answers the question. ____ 1. The collapse of communism in the Soviet Union and Eastern Europe took place mainly in the a. 1960s. b. 1970s. c. 1980s. d. 1990s. ____ 2. When the "invisible hand" guides economic activity, prices of products reflect a. only the values that society places on those products. b. only the costs to society of producing those products. c. both the values that society places on those products and the costs to society of producing those products. d. none of the above; when the "invisible hand" guides economic activity, prices of products are set by the government in a manner that is thought to be "fair." ____ 3. In order to provide information on two variables, an economist must use a. a bar graph. b. pie chart. c. the coordinate system. d. a time-series graph. ____ 4. When a country has a comparative advantage in producing a certain good, a. the country should import that good. b. the country should produce just enough of that good for its own consumption. c. the country’s opportunity cost of that good is high relative to other countries’ opportunity costs of that same good. d. None of the above is correct. Use the accompanying table to answer the following questions: Table 3-6 Labor hours needed to make one unit of Amount produced in 40 hours Cheese Bread Cheese Bread England 1 2 40 20 Spain 2 8 20 5 ____ 5. Refer to Table 3-6 . If England and Spain specialize and trade based on the principle of comparative advant- age, England will export which product to Spain? a. cheese b. bread c. both cheese and bread d. England cannot benefit from trade with Spain. ____ 6. When the number of buyers in a market increases, a. the market demand curve shifts to the right. b. the demand curves of the individual demanders in the market are unaffected. c. the market demand for the good in question increases. d. Al of the above are correct.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
____ 7. Suppose the American Medical Association announces that men who shave their heads are less likely to die of heart failure. We could expect the current demand for a. hair gel to increase. b. razors to increase. c. combs to increase. d. None of the above is correct. ____ 8. Rent control a. serves as an example of how a social problem can be alleviated or even solved by govern- ment policies. b. serves as an example of a price floor. c. is regarded by most economists as an inefficient way of helping the poor. d. is the most efficient way to allocate scarce housing resources. Figure 8-3 ____ 9. Refer to Figure 8-3 . The amount of deadweight loss as a result of the tax is a. $210. b. $420. c. $560. d. $980. ____ 10.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/02/2009 for the course ECON 62140 taught by Professor Ouyang during the Spring '08 term at UC Irvine.

Page1 / 14

Practice+Final - Practice Final Multiple Choice Identify...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online