Econ 2100 Sample Questions 1 Sept 7 2010

Econ 2100 Sample Questions 1 Sept 7 2010 - Economics 2100....

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Sample Questions 1 MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) The fundamental issue of economics is to A) prove that market systems are superior to communist systems. B) choose the proper quantity of goods for a society to produce. C) distribute income as equally as possible. D) analyze choices that must be made because of the scarcity of resources. 2) During the summer you have made the decision to attend summer school, which precludes you from working at your usual summer job in which you normally earn $6,000 for the summer. Your tuition cost is $3,000, books and supplies cost $300, and room and board cost $1,000. The opportunity cost of attending summer school is A) $10,300. B) $6,000. C) $4,300. D) $3,300. 3) Which of the following is NOT an example of an opportunity cost? A) By spending Thursday night studying for an economics exam, a student was unable to complete a homework assignment for calculus class. B) Because David used all of his vacation time to paint his house, he was unable to visit the Carribean last year. C) Because Mary is now being paid a higher wage, she can afford to buy a new car even though she is moving into a bigger apartment. D) By choosing to attend college, Jean was not able to continue working as an electrician; as a result, she gave up more than $85,000 in earnings while she was in college. 4) VCRs came on the market in the 1970s. A VCR cost $1,100 in 1978 and $200 in 2002. During this time period most other prices rose. We are able to conclude that the opportunity cost of a VCR A) has increased. B) has decreased. C) has stayed the same. D) depends on the quality of programs available. 5) A tradeoff is illustrated by A) a point inside the PPF . B) a point outside the PPF . C) a change in the slope of the PPF . D) the negative slope of the PPF . 6) If additional units of a good could be produced at a constant opportunity cost, the production possibilities frontier would be A) bowed outward. B) bowed inward. C) positively sloped. D) a straight line. 7) Over the last 100 years in the US, the percentage of the adult population with at least a high school degree has approximately: A) increased from 2% to 50%. B) increased from 15% to 80%. C) remained roughly the same at 50%. D) increased from 50% to 75%. 1
Background image of page 1

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

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 6

Econ 2100 Sample Questions 1 Sept 7 2010 - Economics 2100....

This preview shows document pages 1 - 2. Sign up to view the full document.

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