�建 Microsoft Word �档

�建 Microsoft Word �档 - C HAP TER 3 1...

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1. The goals of the consumer in a market economy is to buy: A) The greatest number of goods and services possible. B) The goods and services that maximize profits for businesses. C) The combination of goods and services which maximizes their utility given a limited budget. D) Those goods and services with the lowest prices. 2. The goal of the supplier of a product or service in a market economy is: A) The use of scarce resources subject to the constraint of taxes. B) The use of scarce resources subject to the constraint of available profit. C) Profits subject to the constraint of scarce resources. D) Profits subject to the constraint of income. 3. A market in which final goods and services are exchanged is a: A) Public-goods market. B) Product market. C) Factor market. D) Labor market. 4. A market in which land, labor, capital or entrepreneurship is exchanged is a: A) Product market. B) Securities market. C) Factor market. D) Bond market. 5. The invisible hand explains: A) The trial-and-error process by which a market reaches equilibrium. B) Determination of prices in a command economy. C) The appearance of persistent shortages. D) The market mechanism by which individual demand curves are added together to make up market demand. 6. Ceteris paribus means: A) Holding everything else constant. B) Allowing the free market to decide, not government. C) Changing prices to see how demand (or supply) shifts.
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�建 Microsoft Word �档 - C HAP TER 3 1...

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