finalreviewMC - Name: _ Class: _ Date: _ ID: A final review...

Info iconThis preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Name: ________________________ Class: ___________________ Date: __________ ID: A 1 final review Multiple Choice Identify the letter of the choice that best completes the statement or answers the question. Table 3-1 Labor Hours Needed to Make 1 Pound of: Pounds produced in 40 hours: Meat Potatoes Meat Potatoes Farmer 8 2 5 20 Rancher 4 5 10 8 ____ 1. Refer to Table 3-1. The opportunity cost of 1 pound of potatoes for the farmer is a. 8 hours of labor. b. 2 hours of labor. c. 4 pounds of meat. d. 1/4 pound of meat. These graphs illustrate the production possibilities available for dancing shoes to Fred and Ginger with 40 hours of labor. Figure 3-3 ____ 2. Refer to Figure 3-3. The opportunity cost of 1 pair of ballet slippers for Fred is a. 1/3 pair of tap shoes. b. 1/5 pair of tap shoes. c. 3/5 pair of tap shoes. d. 5/3 pairs of tap shoes.
Background image of page 1

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

View Full DocumentRight Arrow Icon
Name: ________________________ ID: A 2 Table 3-4 Hours needed to make one unit of: Amount produced in 2400 hours: Cars Airplanes Cars Airplanes U.S. 40 160 60 15 Japan 50 150 48 16 ____ 3. Refer to Table 3-4. The opportunity cost of 1 car for the United States is a. 4 airplanes. b. 3 airplanes. c. 1/3 airplane. d. 1/4 airplane. ____ 4. Which of the following would be an example of an oligopolistic market? a. the air travel industry b. the domestic wheat market c. the software industry d. electrical power for residential consumers ____ 5. Which of the following would NOT be a determinant of demand? a. the price of related goods b. income c. tastes d. the prices of the inputs used to produce the good Table 4-2 PRICE QUANTITY DEMANDED QUANTITY SUPPLIED $10 10 60 $ 8 20 45 $ 6 30 30 $ 4 40 15 $ 2 50 0 ____ 6. Refer to Table 4-2. If the price were $8, a a. surplus of 50 units would exist and price would tend to fall. b. surplus of 10 units would exist and price would tend to fall. c. surplus of 25 units would exist and price would tend to fall. d. shortage of 25 units would exist and price would tend to rise.
Background image of page 2
Name: ________________________ ID: A 3 Figure 4-9 ____ 7. Refer to Figure 4-9. If the price is $25, there would be a a. surplus of 300 and price would fall. b. surplus of 200 and price would fall. c. shortage of 200 and price would rise. d. shortage of 300 and price would rise. ____ 8. A surplus exists in a market if the actual price is a. equal to equilibrium price. b. below equilibrium price. c. above equilibrium price. d. All of the above are correct. ____ 9. At the equilibrium price a. there can still be upward or downward pressure on price. b. there will be no pressure on price to rise or fall. c. sellers would eventually require a higher price. d. buyers would not be willing to purchase the output sellers desire to sell.
Background image of page 3

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

View Full DocumentRight Arrow Icon
Name: ________________________ ID: A 4 Figure 4-10 ____ 10. Refer to Figure 4-10. Which of the four graphs represents the market for winter boots in June? a. A b. B c. C d. D ____ 11. Suppose that demand increases AND supply decreases. What would happen in the market for the good? a. Equilibrium price would decrease, but the impact on equilibrium quantity would be ambiguous.
Background image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 20

finalreviewMC - Name: _ Class: _ Date: _ ID: A final review...

This preview shows document pages 1 - 5. Sign up to view the full document.

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