Mock-up Midterm Exam 1 In Class portion
 In your notes posted on Blackboard
 Julio receives utility from consuming food (F) and clothing (C) as given by the utility
function U(C,F) = FC. In addition, the price of food is $2 per unit,
5. In a perfectly competitive market:
The behavior of individual consumers
Unemployment and interest rates
(b) and (c)
There is a single seller.
There is a cartel.
No single buyer or seller can significantly affect the
Consumers, Producers, and the Efficiency
Recall, the three fundamental questions of microeconomics:
What goods and services should be produced?
How to produce these goods and services?
Who gets these goods and
Dr. Kelly Chen
Office Location: MBEB 3205
Office Hours: W&F 12-1pm or by Appointment
Email: [email protected]
Class Time: Tu&Th 12-1:15 pm
Class Location: MBEB 1210
We only meet 30 times!
What is Economics abo
Profit Maximization and Competitive
In this chapter, look for the answers to these questions:
What is a perfectly competitive market?
What is marginal revenue? How is it related to total and
How does a compe
Chapters 6.1, 6.2, and 7.1-7.4
The Cost of Production
You run General Motors.
List 3 different costs you have.
List 3 different business decisions
that are affected by your costs.
Our goal in the next several chapters is to study
Monopolistic competition and oligopoly
between monopoly and competition
Competitive markets: many firms, identical products
Monopoly: one firm
In between these extremes
Oligopoly: only a few sellers offer similar
Chapters 3 & 4
Consumer Behavior and Demand
The theory of consumer behavior: how can a consumer with a
limited income decide which goods and services to buy?
Three basic elements of consumer theory, which we will go
through in detail:
Chapter 9 The Analysis of Competitive Markets
5. Refer to Figure 9.1. If the market is in equilibrium, total producer surplus is
6. Refer to Figure 9.1.
If the market is in equilibrium, total consumer and produc
Chapter 7 The Cost of Production
1. Which of the following statements is true regarding the differences between economic and accounting costs?
Accounting costs include all implicit and explicit costs.
Economic costs include implied costs only.
Chapter 8 Profit Maximization and Competitive Supply
1. Which of following is a key assumption of a perfectly competitive market?
Firms can influence market price
Commodities have few sellers
It is difficult for new sellers to enter the market
MERSN NVERSTES KTSAD VE DAR BLMLER FAKLTES
KTSAT BLM MKROKTSAT 1 DERS ARA-SINAV SORULARI 08.11.2010
oktan Semeli Sorular
Sorunun yant olan veya cmleyi en iyi ekilde tamamlayan seenei yant anahtarna iaretleyiniz.
1. Bte dorusunun yatay ekseni
Budget lines, Optimal
ECON 303 / Michail
One slide review: Indifference
This is primarily
[the slopes of ICs
fall as we
Chapter 2 The basics of Demand and Supply
7. The price of good A goes up.
1. A supply curve reveals
the quantity of output consumers are willing to purchase at each possible market price.
the difference between quantity demanded and quantit
Chapter 3 Consumer Behavior
1. The theory of consumer behavior is based on certain assumptions. It includes at least the assumption(s) that
transitivity of consumer preferences.
Chapter 4 Individual and Market Demand
6. The curve in the diagram below is called
1. Moving down along a demand curve for apples
consumer well-being decreases.
the marginal utility of apples decreases.
the marginal utility of apples increases.
Chapter 5 Uncertainty and Consumer Behavior
5. Samantha's expected expense for her car is
Aline and Sarah decide to go into business together as economic consultants. Aline believes they have a 50-50 chance
of earning $200,000 a year, and that
MERSN UNIVERSITY FACULTY OF ECONOMICS AND ADMINISTRATIVE SCENCES
DEPARTMENT OF ECONOMICS MICROECONOMICS MIDTERM EXAM DATE 18.11.2011 TIE 12:30
STUDENT NAME AND NUMBER_
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answ
Chapter 2 The Basics of Supply and Demand '
1) Which of the following is NOT an application of supply and demand analysis?
A) Understanding changing world economic conditions and their effects on prices
B) Evaluating the effects of government price contro
Chapter 6 Production
7. The marginal product of an input is
1. A production function defines the output that can be produced
in a given time period if no additional inputs are hired.
the addition to total output due to the addition of on
The Basics of Supply and Demand
Basic concepts relating to demand and supply:
What does a demand and a supply curve look like? How to use
the demand-and-supply model to explain various phenomena
around the world?