# practicefinalanswer - Final Key Version#1 1 If two goods...

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Unformatted text preview: Final Key Version #1 1. If two goods are perfect complements, then the indifference curves between those goods will A. have a positive slope B. not exist C. be L-shaped D. have a constant slope Frank - Chapter 005 #1 2. Fiona gets three times more marginal utility from an additional bottle of water than from an additional bottle of soda. If the price of soda is \$3.00 per bottle, then Fiona is maximizing her utility if the price of a bottle of water is A. \$3.00 B. \$9.00 C. \$1.00 D. \$.66 AACSB: Analytical Skills Bloom's: Application Frank - Chapter 005 #70 Learning Objective: 5-3 Section: Applying the Rational Spending Rule 3. If the production of all goods and services increases for a society (there is economic growth), then the production possibility curve will A. first shift inward and then shift outward. B. shift outward. C. stay the same. D. shift inward . AACSB: Analytical Skills Bloom's: Understanding Frank - Chapter 002 #106 Learning Objective: 2-3 Section: Factors That Shift the Economy's Production Possibilities Curve Frank - Chapter 007 4. Refer to the figure above. In equilibrium, the sale of the 17 th unit A. yields zero surplus to both buyer and seller B. yields zero surplus to the buyer and positive surplus to the seller C. yields positive surplus to the buyer and zero surplus to the seller D. yields positive surplus to both buyer and seller AACSB: Analytical Skills Bloom's: Application Frank - Chapter 007 #38 Learning Objective: 7-2 Section: The Cost of Preventing Price Adjustments 5. Refer to the figure above. Relative to the market equilibrium price, if a price floor of \$35 is imposed, _______ trades will occur. A. fewer mutually beneficial B. the same number of mutually beneficial C. more mutually beneficial D. no mutually beneficial AACSB: Analytical Skills Bloom's: Application Frank - Chapter 007 #39 Learning Objective: 7-2 Section: The Cost of Preventing Price Adjustments Daily Supply and Demand: Oranges in Hurricane Alley Frank - Chapter 007 6. The marginal buyer values the tenth pound of oranges at ____. 6....
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## This note was uploaded on 08/02/2011 for the course ECON 1 taught by Professor Tang during the Spring '08 term at UCSD.

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practicefinalanswer - Final Key Version#1 1 If two goods...

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