A) Economic efficiency A) automatic stabilizers; discretionary fiscal policy The best alt. C) a decrease in the unemployment rate B) taxes; the money supply D) efficient central planning. It is an example of the post hoc fallacy C. decreasing opportunity costs as more and more of one good is produced. Flow (1) represents: A) wage, rent, interest, and profit income. c. determine the objective. B. B) GDP minus depreciation. D) the wages of college graduates do not fall during recession. Expansionary fiscal policy involves It is the field of economics that studies the behavior of the entire economy. c. Bill Gates faces scarcity because resources are limited Which of the following is a term used by economists to describe the money received from the sale of an additional bag of potatoes? C. Eliminates market failures by government. A. E. consumers and producers. C) an increase in the quantity supplied. All points on the curve. A) an increase in demand. A decrease in input costs in the production of LCD televisions caused the price of LCD televisions to decrease. C. maintain equilibrium in the Balance of Payments. Macroeconomics focuses on the performance of Chapter 6, P R O B L E M S E T 3 . If inflation over the year is 2%, what is the real interest rate you are paying? A. A. income; available A. public economics. d. Public economics. D. constant opportunity costs as more and more of one good is produced. C) a full-time employee at a pizza parlor who makes more than the minimum wage E. consumers and firms choosing which goods and services to buy or produce. D) buys U.S. government bonds. A) below the market wage, causing labor demand to be greater than labor supply. A) the supply curve shifted to the left resulting in an increase in the equilibrium price. The invisible hand at work. With respect to factors of production, which of the following statements is not true? Which of the following correctly describes the relationship between economic efficiency and economic equity? D. d. The unemployment rate, Does the "richest man in the world" face scarcity, or does scarcity only affect those with more limited incomes and lower net worth? B) decrease the measured labor force participation rate. C) Toby buys a new lawn mower to use in his lawn care business. For 20Y2, Tri-Comic Company initiated a sales promotion campaign that included the expenditure of an additional $50,000 for advertising. B) real GDP per person Explore the definition and types of economics including microeconomics and macroeconomics and. A) the value of the house in 2016 C) the economic surplus received from purchasing a given quantity of a product. Economics involves allocating resources to meet peoples' needs and desires for goods and services. D. Is one that allows trade with other countries. Marco's consumer surplus from the purchase is A) a law making it illegal to work more than 35 hours per week Which of the following is a macroeconomics question? 19 If the short-run aggregate supply curve intersects with the aggregate demand curve at a point that is greater than the long-run . C. Production managers are more concerned with satisfying government's orders than with satisfying consumer wants. D. People begin to retire at earlier ages. C) Every individual, no matter how rich or poor, is faced with making trade-offs. B. B) far less difficult than with monetary policy. C) The quantity of inkjet printers demanded increases. D) on foreign soil. c. It eliminates the need for abstraction or simplification A. D) No, the recession will have no impact on my ability to get a job or my future income. Compose a sentence using the following word. Q. D) gross national product of Canada and the gross national product of the United States. What goods and services to producehow will these goods and services be produced; and who receives them? C. How is the production quantity of snowboards determined? D. some people live better than others do. B) Trade-offs do not apply when the consumers purchase a product for which there is excess supply, such as a stock clearance sale. B) some people do not want a job. D) the nominal interest rate. A) the value of worn-out equipment, machinery, and buildings. B) fallen; risen d. See Answer 14 15 Show transcribed image text Expert Answer Answer no (14). A) a demand curve has shifted to the left. C) opportunity C. Technology is lost. Economists have shown that the burden of a tax is A) The demand curve for inkjet printers shifts to the right. The study of national economy as whole. The market mechanism may best be defined as Key Takeaways. C) equal to the highest value of an alternative use of the time and money spent on the class. A. B. C) the demand for lawn care service has decreased. Which of the following statements about positive economic analysis is true? A technological advance would best be represented by The "guns versus butter" dilemma that all nations confront is that A) he tax cut would increase consumption spending less than would a permanent tax cut. D. Competition, Consider the following economic agents: The tuition you pay 1) Economic models do all of the following except A) answer economic questions. A. producers A) lower government purchases by an amount less than $200 billion. Maximum combinations of goods and services an economy can produce given its available resources and technology. B) structural The four basic economic questions are: what goods to produce, how to use resources in the production process, who receives the finished goods and when to produce the goods. C. consumers D) a demand curve has shifted to the right. although this definition differs from state to state. Calculate the predetermined overhead allocation rate for each activity. D) quantity of Dell employees. _____a. C) not change GDP. Increasing the federal tax on gasoline would cause shipping costs in the United States to increase The third equation represents the investment function, where e and k are parameters. D) unemployed persons falsely report themselves to be actively looking for a job. If the United States decides to convert automobile factories to tank production, as it did during World War II, but finds that some auto manufacturing facilities are not well suited to tank production, then Cutting taxes _______ Which of the following is a normative economic statement? You have majored in computer science and, because of the recession, have difficulty in finding a job. D) about the same difficulty as with monetary policy. D) building an online job database that helps workers find jobs. B) productive efficiency D. the choices people make to attain their goals, given their scarce resources. Choose 1 answer: Hors many smartphones should Samsung produce this quarter? B) The demand for video game consoles would decrease and the equilibrium price of video game consoles would decrease. \text{Total indirect costs}&\text{\underline{\underline{\$\hspace{5pt}380,000}}}\hspace{10pt}\\ D) the value of all cars produced by Nissan in Japan and the United States. E. it is easier to book holidays in member countries. C. Maintaining a strong level of economic growth. A. B. d. National output, Statistical Techniques in Business and Economics, Douglas A. Lind, Samuel A. Wathen, William G. Marchal, Alexander Holmes, Barbara Illowsky, Susan Dean. A. it allows countries to exploit their comparative advantage, more fully. A. how households and firms make choices. a. b. C. unlimited resources exceed limited wants. B) an increase in government spending D. workers deciding to produce only what the boss says must be produced. a. D) having an absolute advantage. A) automatic stabilizers. a. C) increased income tax rates. B) partial A) total employment is greater. The money-creating potential in the banking system in the given case is computed as follows: D) increase all of the monetary flows. All of the following events would have this effect except B) updates the market basket every 10 years, rather than every two years. C) there are not enough jobs for everyone who wants one. Technological advancements have led to lower prices and an increase in the sale of color laser printers. d. identify possible solutions. In addition to selling pet food and pet products, PetSmart also offers dog grooming services including baths, nail trimming, teeth brushing, and aromatherapy to reduce everyday stress, and nail polish and stickers. Preparation and presentation of Union Budget 2. Second, they are generally less able than are the better off to protect the real value of their incomes and assets from inflation. B) the value of the house in 2003 Solve the Following Short-Essay Questions: Define demand. C) the loss of economic surplus when the marginal benefit equals the marginal cost of the last unit produced. C) a decrease in the price of lithium, which is used in the electric car batteries. c. degree of operating leverage. B. B) there is a one-time increase in the price level. C. A movement from inside the production possibilities curve to a point on the production possibilities curve. D. topics such as unemployment, inflation, and economic growth. A) those that borrow money lose. However, with increased productivity, the economy has more available resources which can be used for non-necessary goods, such as leisure and education. A) U.S. GDP. Which of the following would be classified as fiscal policy? a. margin of safety. (C) how individual markets work. The three fundamental questions that any economy must address are Use the supply schedule below to answer the following question: Price $10 $20 Quantity Supplied 100 This problem has been solved! D. Laissez faire. a. 1 #7. A) deadweight loss is maximized Works through central planning by government. C) risen; risen B) There is much less disagreement among economists over normative economic analysis than over positive economic analysis. Raising the income tax decreases the amount of disposable income available to those households. a. B. Zero because you knew when you registered for the class that studying would be required. B. marginal benefit equals the marginal cost. a. the government D. Increasing opportunity costs will occur with greater tank production. D. What goods and services should we produce? d. 9 Questions. Factors of production and price signals. B) an increase in supply. D) discretionary fiscal policy; conscious fiscal policy. C. the highest valued alternative that must be given up to engage in an activity. D) below; shortage. Principles of Macroeconomics Quiz- Which of the following represents the major functions of the central bank (a) note issuing agency (b) controller of. A) a reduction in unemployment. Refer to the above diagram. E) raise taxes by an amount more than $200 billion. B) Marginal benefit is the additional benefit to a consumer from consuming one more unit of a product. D. Production of nonmilitary goods will decrease. Most primitive economies concentrate on producing food and shelter - the basic necessities of life. of mental institutions) and ___________ (movement C. Can a tax cut lead to a government budget surplus? In a market economy, those who are willing and able to buy what is produced. It is also the case that reported burglaries increase during the same period. The minimum wage law causes unemployment. B) gross national product of Canada. The Federal Aviation Administration is considering increasing the number of takeoff and landing slots available at Ronal Reagan Washington National Airport C) investment; consumption A) urniture Go to Memorandum. Government agencies. B) relative abundance of labor and capital. Preparation and presentation of Budget for state governments under President's Rule 3. C) the ACIF. Required use of pollution control technology that is obsolete. The economy may be in equilibrium. C. An increase in national defense is possible only if we produce more butter. Households and firms; the economy as a whole, T/F Resources are limited in both wealthy and poor societies, All of the following are criteria frequently applied in judging economic outcomes except, Economics is best defined as the study of, The most common method for graphing the relationship between two variables is by drawing two __________ lines, where the __________ is a horizontal line and the __________ is a vertical line. (a) 3,6,12,3,6,12, \ldots3,6,12, The invisible hand refers to Step-by-step explanation. Why is the economy of India growing? Buyers will bear the entire burden of a unit tax if the demand curve for a product is This means that _______ d. sensitivity analysis. B) substitution B) The federal government pays the salary of an FBI agent. C) How does Fiat decide on the price of the 500 Pop model? C. Levels of production that will cause both unemployment and inflation. A) The federal government passes tax cuts to encourage firms to reduce air pollution. C) by the same amount as B) the value of the time spent on line. The number of work visas should not be limited by the government. Which of the following individuals would be most negatively affected by anticipated inflation? C) NAFTA. b. A) buys a new robotic machine (from a plant in Ohio) to assemble cars. How do you go about allocating your time in a given day among competing alternatives? B. Prelims Marathon - Economic Survey - March 1st - 2023. C-Nomative A) above; surplus E) the cost of tuition and fees only. Choose the correct option. Should Congress and the president take action to reduce global warming? b. Expert Answer Option b deals with a microeconomi View the full answer Transcribed image text: Which of the following is NOT a macroeconomic question? Individual consumers. View Answer. D) 3.5% Macroeconomics, as opposed to microeconomics, includes the study of what determines the ____________ A. trade-off Option b: This option is incorrect because medium of exchange is a function of money as money is used to exchange goods between buyer and seller. B) structural unemployment Poorly timed discretionary policy can do more harm than good. D) the value of the services of the real estate agent, Which of the following goods is directly counted in GDP? Macroeconomics is focused on the movement and trends in the economy as a whole. b. To reduce the bias in the consumer price index, the Bureau of Labor Statistics Should the government put a tax on alcohol in an attempt to reduce highway fatalities? D. A movement from the production possibilities curve to a point inside the production possibilities curve. Which of the following is included in both the U.S. GDP and U.S. GNP? C) an autonomous; an induced D) 15%. C) A state government cuts taxes to help the economy of the state. C. There is often a tradeoff between the two. The study of regional economy as whole. Rearranging, we get: Which of the following is a microeconomics question? Thus we can say that it is that part of economic theory which studies the economy in its totality or as a whole. 1. B. Which field of economics deals primarily with the problems faced by low-income countries? National income is equal to A) the Income Security Tax. D) A drug dealer reports herself as unemployed. B) The tax cut would increase consumption spending more than would a permanent tax cut. Expected inflation is 2.3% and actual inflation may be greater by 0.4%, calculate the impact on the S&P500 projected return ( How would the projected return change) Create a portfolio invested in Boaz Allan (BAH) and Five9 (FIVN) with the . The income effect of a price change results in a _________ B. the government D. The person who has the responsibility to coordinate all the markets in a market economy. The market mechanism B) -3.5% First, the poor tend to hold most of their financial assets in the form of cash rather than in interest-bearing assets. Investment, as defined by economists, would not include which of the following? B) the federal income tax. Economists reason that the optimal decision is to continue any activity up to the point where the. Deflation occurs when ____________ A. how households and firms make choices. It focuses on areas like inflation, economic growth rate, price levels of various goods and services, gross domestic product (GDP), national income and the unemployment rate in a particular country. Economics teaches how to limit our wants. Cadre Management for Indian Economic Services D. The full employment of resources to achieve a particular combination of goods and services. C. Theme park construction. How does the increasing use of digital cameras affect the market for traditional camera film? A. Should the government attempt to influence the interest rate to lower inflation? A) the Pacific Trade Association. D) no one in the economy loses. [Identify the impact of your changes to the income and corporate tax rates. b. Scarce resources and opportunity cost. A) taxes; interest rates D) the demand curve shifted to the left resulting in a decrease in the equilibrium price. Start. The economy's capital stock declines. A) nondurable goods; durable goods B) the number of lawn care service companies has increased. B) above; shortage D) The quantity of inkjet printers demanded decreases, Last month, the Tecumseh Corporation supplied 400 units of three-ring binders at $6 per unit. To learn a way of thinking A) Micah purchases a new wrench for his auto repair business. The Industrial Revolution refers to the rise of the modern factory system in ________ during the late eighteenth and early nineteenth centuries. In a free market, production is determined by market forces. D) more than complete, A tax rebate, like the one issued in 2008, is likely to ________ consumption spending ________ than would a permanent tax cut. B. A. b. C) more difficult than with monetary policy. A) create jobs. C) The demand curve will shift to the right. B) movement along the demand curve due to a change in relative prices. D) What determines the salaries of college professors? C) make economic ideas explicit and concrete for use by decision makers. Step-by-step explanation. Use the following (partial) chart of accountsaccount numbers in parentheses: Cash (101); Accounts Receivable (106); Office Supplies (124); Trucks (153); Equipment (167); Accounts Payable (201); Unearned Landscaping Revenue (236); D. Tyler, Capital (301); D. Tyler, Withdrawals (302); Landscaping Revenue (403); Wages Expense (601), and Landscaping Expense (696). b. consumers D. it intensified competition. The government should reduce the tax burden to help small business. d. Comparative economic systems, Determine whether the following is covered by microeconomics or macroeconomics B) when real GDP is above but close to potential GDP. Production possibilities curve will shift inward. B) discretionary fiscal policy; automatic stabilizers B) increases; decreases To the extent the data permit, comment on the significant relationships revealed by the vertical analysis prepared in (1). B) lower government purchases by $200 billion. B. B) falls; Marla's work becomes less valuable once she's married Administrativeexpenses. Totaloperatingexpenses Incomefromoperations. Otherincome.. Incomebeforeincometax.. Incometaxexpense.. Netincome. David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, Intro to Microeconomics (First Exam) (Chapter, Prepare a comparative income statement for the two-year period, presenting an analysis of each item in relationship to sales for each of the years. A) employed a. B) teachers' salaries paid by a local government Guns and butter can be produced using the same resources at the same time. An economic ________ is a simplified version of some aspect of economic life used to analyze an economic issue. They've told our detectives they have no interest in ever putting in the barriers.". 7 Principles of Macroeconomics- Chapter 1 C) increase flows (2) and (3) and reduce flows (6) and (7). C) during an expansion. c. To be an informed citizen A) decrease the measured unemployment rate. More teenagers enter the labor force. Is the value of the alternative use of the time you spend of playing this game Simple economies can be described in terms of three major economic flows. President Obama has discussed raising income taxes for individuals earning over $250,000 in income. Micro Economic 100% (2) 176. A) GDP rises by $1,875. B) increase; less The use of market signals and government directives to select economic outcomes. . Alexander Holmes, Barbara Illowsky, Susan Dean, Fundamentals of Engineering Economic Analysis, David Besanko, Mark Shanley, Scott Schaefer, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. B. decisions; household A formal statement of theory, usually a mathematical statement of a presumed relationship between two or more variables, is called ______. The first stage in the five-step decision process described in the text is to a. define the problem. b. Capital, as economists use the term, refers to. A) the value of leisure is included in GDP. The opportunity cost of taking an on-line history class is B) the underground economy. A. achieve full employment. B) the equilibrium quantity of sailboats increased." An undesirable combination of goods and services. A) less difficult than with monetary policy. By definition, economics is the study of C) goods and services. A) greater on the buyer when the tax is collected from the buyer. C. the economy as a whole. If inflation is positive and is perfectly anticipated ____________ A) attainable C. society's output cannot be made available to all. B) increased income tax rates. B) a decrease in government purchases Which of the following is a macroeconomic question? D) a student who borrows $10,000 at a nominal interest rate of 5% to finance educational expenses. Each point on a demand curve shows To understand society and global affairs Your grandfather tells you that he earned $7,000/year in his first job in 1961. D) Excise and other taxes; individual income taxes. D) total welfare is greater. It is an example of the coincidental fallacy A) the cost of additional education is always higher during recession. D) when real GDP is below but close to potential GDP. b. Is very narrow endeavor D) The demand curve for traditional camera film shifts to the left. The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession is an example of Why is the typical person in the United States today more than 10 times richer than the typical person in the United States a century ago? B. b. real costs. O How will the government's budget deficit be affected by public infrastructure projects? O a False O b. An oligopolistic industry consists of only two firms, Angel& c. It confuses correlation and causation D) increased business taxes. A. A) inflation. Directions: You are advised to spend the first 10 minutes reading all of the questions and planning your answers. c. Focuses on how a business should function -3 Multiple Choice 1:10:18 Are oil companies ripping off consumers by charging exorbitantly high prices for gasoline? C) automatic stabilizers; monetary policy B) discretionary fiscal policy. B) The supply curve will shift to the right. The demand for bottled water by individuals. A. unlimited wants exceed limited resources. Reading Period 10 minutes . B) discouraged workers c. It considers part-timers as employed, and hence it is understated. What were the macroeconomic principles or models that influenced your decision making?] D) decreasing the money supply and increasing interest rates. A) the unemployment rate increased. B) add to GDP. D) They are included only if they are imported, Which of the following are not considered part of government purchases?