Exam_2 practice.pdf - Name Student MICROECONOMICS 1014 EXAM...

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

Name:_____________________________ Student #___________________ MICROECONOMICS 1014 EXAM 2 Practice Exam Please do not begin the exam until you are told to. You have 60 minutes to finish the exam. When the time is up do not write anything more on the scantron. On the scantron sheet, fill in NAME and STUDENT NO. Only pencil, erasers, both sides of one 8.5 x 11 cheat sheet, and a standard function calculator may be used on this exam. No other devices are allowed. You may not use the calculator on your cell phone. Fill all answers on your scantron. No answers will be accepted unless they have been filled into the scantron.
Image of page 1

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

1 Version: 024 TWAG!! 1. Since all competitive firms produce wherever marginal cost equals the market price for the product, we can conclude that: I. all competitive firms produce at the same marginal cost level. II. all competitive firms produce the same quantity. III. all competitive firms make above normal profit. A) I only B) I and II only C) II and III only D) All of the answers are correct. Use the following to answer question 2: Figure: Paint Market 2 2. (Figure: Paint Market 2) What is the deadweight loss (if any) from the monopoly in this diagram relative to the efficient quantity?
Image of page 2
2 3. Which of the following statements is TRUE? I. Taxes may reduce consumption by exactly the same amount as government regulations. II. Command and control policies work best when flexibility is required. III. Command and control policies effectively reduce consumption, but they may not be the lowest cost method for doing so. 4. The Centers for Disease Control and Prevention (CDC) wants at least 90% of the population vaccinated against preventable diseases, since the chance of a disease outbreak decreases as vaccine coverage increases. We can conclude that: Use the following to answer questions 5-6: Figure: Foreign Trade with a Tariff 5. (Figure: Foreign Trade with a Tariff) Refer to the figure. A $1 tariff generates increased domestic production by: A) 90 million units. B) 140 million units. C) 40 million units. D) 180 million units.
Image of page 3

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

3 6. (Figure: Foreign Trade with a Tariff) Refer to the figure. A $1 tariff generates government revenue of:
Image of page 4
Image of page 5
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