Navigation » List of Schools » East Los Angeles College » Economics » Econ 001 – Microeconomics Principles » Fall 2020 » Quiz 1
Below are the questions for the exam with the choices of answers:
Question #1
A increasing by 15%
B increasing by 20%
C increase by 5%
D increasing by 11%
E unknown due to insufficient information.
Question #2
A supply and demand explains how prices are set in competitive markets
B markets are used to allocate resources in centrally-planned socialist economic systems
C markets can vary in geographical size
D prices are used to allocate goods in markets
E markets are used to allocate resources in market systems
Question #3
A it’s a non-linear equation.
B it shows 8 is intercept for the linear equation
C it suggests that x depending on the changes of y.
D it shows that its slope is equal to 8.
E it suggests that it’s a time-series analysis
Question #4
A y is the intercept for the linear slope
B b=change of y over change of x.
C y is an independent variable
D b is an independent variable
E m=change of y over change of x.
Question #5
A study money
B study the market changes
C study how to efficiently allocate scare resources to maximize societal goals.
D study recession and boom
E study supply and demand
Question #6
A determining whether the government should reduce poverty
B determining the impact of government spending on the actual level of total employment
C determining the ideal level of immigration to the country
D determining whether too many luxury goods are being produced
E determining the best level of immigration into the country
Question #7
A increase in demand
B increasing in market price
C increasing opportunity cost
D increasing in monetary cost
E rising in resource (input) prices
Question #8
A an increase in the price of the Ford Focus GT
B a drop in inflation
C a general rise in national interest rates
D an increase in total production in the United States
E a drop in the nation’s unemployment rate
Question #9
A to produce more of one thing, we must produce less of something else
B when an individual obtains more of a good, he may not be fully satisfied
C costs of production are sky rocketing
D to produce more of one thing, we must produce more of everything
Question #10
A government decree
B economic planning
C prices
D voter consensus
E tradition
Question #11
A prices determine what consumers buy while the government determines what firms produce
B the government allocates resources while prices allocate goods and services
C prices determine both what firms produce and what consumers buy
D prices determine what firms produce while the government determines what consumers buy
E the government, producers, and consumers work together and allocate resources while prices allocate goods and services
Question #12
A a decrease in the wealth of college students
B a decrease in the population of college students
C an increase in the price of used college textbooks
D a decrease in the price of new college textbooks
Question #13
A the entire supply curve must shift to the left in order to attain equilibrium
B the problem of scarcity has been solved in that market
C the current price exceeds the equilibrium price
D the market will not be able to approach equilibrium
Question #14
A determining the best level of immigration into the country
B determining whether the government should reduce poverty
C determining the impact of government spending on the actual level of total employment
D determining whether too many luxury goods are being produced
Question #15
A the demand curve typically slopes downward; the supply curve typically slopes upward
B both the demand and supply curve typically slope upward
C the demand curve typically slopes upward; the supply curve typically slopes downward
D both the demand and supply curves typically slope downward
Question #16
A price and quantity supplied are directly related
B price and quantity supplied are inversely related
C supply follows demand
D quantity supplied equals quantity demanded
Question #17
A increase in the demand for cranberry juice
B decrease in the quantity demanded of cranberry juice
C increase in the demand for orange juice
D increase in the quantity demanded of orange juice
Question #18
A they both show a relationship between quantity and price
B they both usually slope downward
C they both usually slope upward
D neither of them is influenced by the size of the population
Question #19
A increase in demand
B increase in quantity demanded
C increase in supply
D increase in quantity supplied
Question #20
A what is sacrificed to pursue that action
B what we gain in the process of consumption
C irrelevant to economic theory
D limited to the out-of-pocket cost incurred