Navigation » List of Schools » Glendale Community College » Economics » Econ 101 – Microeconomics » Spring 2023 » Midterm
Below are the questions for the exam with the choices of answers:
Question #1
A 200
B 300
C 400
D 100
E 500
Question #2
A 660
B 880
C 500
D 600
E 400
Question #3
A fixed costs are decreasing at low levels of production but increasing at high levels of production
B increasing returns to scale at low levels of production and decreasing returns to scale at high levels of production
C decreasing returns to scale at low levels of production and specialization at high levels of production
D the average variable cost curve increases at low levels of production but decreases at high levels of production
E fixed costs are increasing at low levels of production but decreasing at high levels of production
Question #4
A products A and B are unrelated
B products A and B are complements, if the price falls for B the demand for A falls
C products A and B are substitutes, if the price falls for B the demand for A rises
D products A and B are complements, if the price falls for B the demand for A rises
E products A and B are substitutes, if the price falls for B the demand for A falls
Question #5
A None of these
B 0.5
C 0
D 1
E -0.5
Question #6
A Luxury
B An item that consumers can quickly and easily change their consumption of
C An item that represents a large portion of consumers’ income
D Necessity
E An item with many substitutes
Question #7
A Ed = 2.3, demand is elastic
B Ed = 0.9, demand is inelastic
C Ed = 0.4, demand is inelastic
D b. Ed = 0.4, demand is elastic
E Ed = 0.9, demand is elastic
Question #8
A decreasing taxes
B increasing interest rates
C a public works project to rebuild a bridge
D increasing taxes
E cutting subsidies for the agriculture industry
Question #9
A A tax on producers
B None of these
C A subsidy to buyers
D A subsidy to producers
E All of these
Question #10
A 30,000 – which is less than the societally optimal amount since education is a negative externality
B 30,000 – which is less than the societally optimal amount since education is a positive externality
C 30,000 – which is more than the societally optimal amount since education is a positive externality
D 60,000 – which is less than the societally optimal amount since education is a positive externality
E 60,000 – which is more than the societally optimal amount since education is a positive externality
Question #11
A quantity sold increases, price may increase or decrease
B price decreases, quantity sold may increase or decrease
C price increases, quantity sold may increase or decrease
D quantity sold decreases, price may increase or decrease
E price decreases, quantity sold increases
Question #12
A price decreases, quantity sold may increase or decrease
B price increases, quantity sold decreases
C price decreases, quantity sold decreases
D price decreases, quantity sold increases
E price increases, quantity sold increases
Question #13
A the price of gas decreases
B None of these
C the price of bicycles decreases
D the price of bicycles increases
E the price of gas increases
Question #14
A $800 and 16m
B $800 and 5m
C $600 and 22m
D $600 and 12m
E $400 and 16m
Question #15
A Consumers realize the Prius is a slow and tacky vehicle.
B The price of steel used in the production of Priuses increases.
C The price of Toyota Priuses rises.
D The cost of gas increases.
E The government provides Toyota a subsidy for each car produced.
Question #16
A None of the choices
B households buy resources/labor from firms and firms sell resources/labor to households.
C All of the choices
D firms buy resources/labor from households and households sell resources/labor to firms.
Question #17
A Monetary incentives exist for entrepreneurs who bear risk.
B Individuals, not the government, own the factors of production.
C Neither are characteristic of a market economy.
D Goods and services are sold in a competitive way.
E Government services are limited to basic protections such as enforcing laws and protecting the public.