macro sample test1 (dont think this is correct)

Macro sample test1 - Economics 202 Principles of Microeconomics Spring 2001 First Examination Steve Greenlaw Instructions Read all questions

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Economics 202 Principles of Microeconomics Spring 2001 First Examination Steve Greenlaw Instructions: Read all questions carefully and choose the BEST answer. Fill in your answer on the separate answer sheet using a number 2 pencil. 1. The production function shows the relationship between: a. total cost and quantity of output produced. b. the quantity of inputs and the quantity of outputs. c. the amount of labor employed and labor productivity. d. the price of the product and the quantity supplied. 2. According to the theory of utility, as more units of a good are obtained, the consumer's marginal utility: a. always continues to rise. b. may rise at first, but must eventually become constant. c. may rise at first, but will eventually diminish. d. may diminish at first, but must eventually rise. 3. Marginal utilities a. include railroads and bus companies in danger of bankruptcy. b. reflect subjective preferences. c. are easily compared between individuals. d. are determined by society as a whole. 4. The primary difference between the short run and the long run lies in: a. the length of time considered. b. the range of adjustments that a firm can make in response to some event. c. the differences between average and marginal productivity. d. the existence of variable costs only in the long run. 5. If at the current level of output Average Variable Cost is increasing, a. then Marginal Cost must be decreasing. b. then Average Total Cost must be decreasing. c. then Average Total Cost must be less than Average Variable Cost. d. then Average Fixed Cost must be decreasing. 6. In which of the following types of auctions does the auctioneer play the least important role? a. Walrasian auction b. English open auction c. Dutch auction d. Double oral auction market 7. The economic way of thinking stresses that: a. changes in costs and benefits will exert a predictable influence on human behavior.
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This note was uploaded on 04/07/2008 for the course ECON 102 taught by Professor Greenlaw during the Spring '08 term at Mary Washington.

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Macro sample test1 - Economics 202 Principles of Microeconomics Spring 2001 First Examination Steve Greenlaw Instructions Read all questions

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