intermediate Microeconomics 73-150
You have just emerged from university with a debt service burden of $25,000 per year (i.e. you
have to pay back 25,000 in one year to the bank), and have gotten a job with exible working
Intermediate Microeconomics 73-150
if the consumers budget constraint is given by 10F + 58 = 100 where F is food and S is shelter.
how much food c n she buy if she purchases 2 units of shelter?
a. 10 b. 5 c. 20 d _, e. None of the above.
Quiz 1 A
Intermediate Microeconomics 73-230
Information for Questions 1-4
You are given the following partial information about a consumer's
purchase. He consumes only two goods.
Year 1 Year 2
Qty Price Qty Price
Good 1 100 100 120 100
Good 2 100
SAMPLE Exam 2011: Intermediate Mieroeeonc'nni(as 73150
3 May 6, 2011
_ 0 Time allowed: 3 hours.
_ 0 Provide your solutions directly on the paper. Write below the questions in the
' space provided.
: 0 Section A is worth 24 points, each
INTERMEDIATE MICROECONOMICS: THE
CONSUMER AND PRICE CHANGES
Week beginning 3lst January
I/ 2 1 3
if: I] x , I I, I J J J
I"! f r / w H - '7 Sun J
A jig J W J) 7 x. 9
iv A .1 ,. / / ".M i ' V
A l]! / L, L 11/? ' J / C (5 ( Jud
1 x A .
m; r _
Intermediate Microec0nomics 73-150
Problem 1 3
An Engel curve
. -3\A'Ways slopes up for an inferior good, . .
1.31 Always slopes down for an inferior good. ' x i i
HI 8. May slope up or down for a normal good, I
h d. Does not relate to the concep
mood I nnu
Problem 1 QUIZ 10
i\_r I 32? 91 the following would not be conSidered price discrimination?
The ;ssumg of discount tickets to week-end travelers
"4 5:. r e. act that uesday Morning s products are always on sale
5L Movies offering ch
( 73150 Microeconomics)
V .When there is "adverse selection" in a particular market:
: a. The trading partners you are likely to encounter are more likely to have "undesirable"
b. The trading partners you are likely to
Intermediate Micreconomics 73-150
the maximum number of arrests per hour by g
a. 100 police to West Philadelphia, 500 to Center City.
b. 200 police to West Philadelphia,400 to Center City.
.0300 police to West Philadelphia, 300 to Center City.
Quiz 9 (Microeconomics)
Which of the following is not a source of monopoly Power:
8. Exclusive control of inputs.
b. Economies of scale.
ti. Government licenses.
LE. Rapid technological change in an industry.
Problem 2 I , a.
Carnegie Mellon University
Ph.D. in Economics from the University of
My research: Public Economics, Political Economy,
analysis of interaction between firms
Sample Midterm 2, Solutions
A. Sample Denition Questions
Homogeneity of a function: A function is homogenous of degree k > 0 if
multiplying its inputs by t > 0 multiples its value by tk .
Engel Curve: depicts the relationship between quantity demanded and
Discuss the following problem, which is similar to the rst problem in Problem Set 6.
Consider a pure exchange economy with 2 goods indexed by 1 and 2, and 2 consumers
A and B. The preferences of consumers are given by the following u
Section A (8.30-9.20)
The consumers maximization problem is
1'11ax2i,(:r:, y) s.t. pun: + pyy S w (1)
If the consumers preferences satisfy more is better, the solutions of ( 1) coincide with
the solutions to
maxu(:z:, y) 1933: + my = w
Sample Final, Solutions
Marginal Cost: ABFGCDHI
Average Cost: ABCDE
Q = minf10L; 5Kg
K = 10 ) Q = minf10L; 50g
10 if L 5
if L > 5
10 if L 5
0 if L > 5
(b) In the short-run, K = 10, and producing 1
SAMPLE FINAL QUESTIONS
The final exam will be comprehensive with more emphasis on topics that were not
included in the two midterms (i.e., Chapters 6, 7, 8 and 11). You should not feel
intimidated by the large volume of these cha
SAMPLE MIDTERM QUESTIONS/PROBLEMS
A. SAMPLE DEFINITION QUESTIONS
Define the following terms. Do not give a mathematical formula as an answer. I am not
expecting a word-by-word textbook definition. It is enough to write one meaningful line
1 Civil? 7
intermediate Micreconomics 73-150
,Igle short run prot maximizing output level for a perfectly competitive firm is always where:
a P = MC. provided P > AVC.
E . P = MC, provided P > ATC.
_ c. P = AVC. provided P > MC.
I d. P