EC2101_2015_2016_SM1_Midterm_Solution.pdf

EC2101_2015_2016_SM1_Midterm_Solution.pdf - NATIONAL...

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

View Full Document Right Arrow Icon
NATIONAL UNIVERSITY OF SINGAPORE EC2101: MICROECONOMIC ANALYSIS I Semester 1, AY 2015/2016 MIDTERM EXAMINATION SOLUTION 1 October 2015 Time allowed: 70 minutes INSTRUCTIONS TO CANDIDATES 1. Write down your name here: . 2. Write down your name, matric number, and tutorial number on the answer book. 3. Write down your answers for ALL questions (including MCQs) in the answer book . 4. Write down your answers for ALL MCQs in CAPITAL letters on the SAME page of the answer book. 5. No explanation is needed for MCQs. 6. Do NOT write in pencils. 7. This examination paper comprises four (4) printed pages, including this page. 8. This examination comprises two (2) parts. Part I contains eight (8) MCQs. Part II contains two (2) structured questions. 9. This is a CLOSED book exam. 10. You may use a non-programmable calculator , but no cell phone or laptop is allowed. 11. The total mark for this paper is 100 .
Image of page 1

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

View Full Document Right Arrow Icon
EC2101 2 I. Multiple Choice Questions (5 marks each) Choose the BEST answer 1. A firm’s production function is Q = 2 KL L 2 . For the isoquant of Q = 16 , A. There is no uneconomic region of production. B. In the uneconomic region of production, MP L is negative. C. In the uneconomic region of production, MP K is negative. D. In the uneconomic region of production, both MP L and MP K are negative. 2. A consumer buys two goods, x and y . Put x on the horizontal axis and y on the vertical axis. When the price of x and the consumer’s income both increase, holding the price of y constant, regarding the change in budget line, which of the following scenarios is possible? 3. Which of the following production functions exhibits decreasing returns to scale? For simplicity, assume L > 0 and K > 0 . 2 3 K 2 3 .
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern