Practice_exam1_A

Practice_exam1_A - page 1 of 8 Economics 2 Winter 2011 your...

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

View Full Document Right Arrow Icon
page 1 of 8 Economics 2 your name _______________________________ Winter 2011 your TA’s name __________________________ day and time of your discussion section ________ PRACTICE EXAM 1A DIRECTIONS: No calculators, books, or notes of any kind are allowed. All papers and notebooks must remain closed and on the floor at all times throughout the exam, and students are not allowed to leave the examination room until finished. Answer all questions in the space provided with the exam. 100 points are possible on this exam. HINTS: Feel free to use either of the following formulas if you find them useful. Area of a triangle = (1/2) (base) (height) Area of a trapezoid = (1/2) (base1 + base2) (height) PART I: MULTIPLE CHOICE—circle the correct answer (4 points each, 68 points total) 1.) In general, a tax imposed on the consumers of a good results in a.) an increase in producer surplus and an increase in total economic surplus b.) a decrease in producer surplus and a decrease in total economic surplus c.) a decrease in producer surplus and an increase in total economic surplus d.) an increase in producer surplus and a decrease in total economic surplus 2.) Which of the following is usually an accurate statement about the effect of a subsidy paid to the producers of a good? 3.) The change in total economic surplus from producing one more unit of a good can be calculated from 4.) If marginal revenue is less than marginal cost, then a monopolist could increase profit by
Image of page 1

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

View Full Document Right Arrow Icon
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