Navigation » List of Schools » West Los Angeles College » Economics » Econ 001 – Principles of Microeconomics » Summer 2019 » Quiz 7
Below are the questions for the exam with the choices of answers:
Question #1
A the marginal utility per dollar is the same for both goods
B the demand curves are flatter reducing quantity
C the marginal utility per dollar is controlled by trade-offs
D the quantities demanded change so total utility rises
Question #2
A elective surgery due to its lower marginal utility per dollar of expenditure.
B neither can be compared by measuring marginal utility.
C mental health therapy due to its higher marginal utility per dollar of expenditure.
D both programs, which have the same marginal utility per dollar of expenditure.
Question #3
A household consumption choice budget and the labor-leisure budget using an utilimometer.
B budget constraint and low-income housing expenses.
C marginal utility gained and lost from different choices along the budget constraint.
D various categories of economic proverbial wisdom
Question #4
A be positive, negative, or zero
B be positive or negative, but not zero
C increase positively, but not negatively
D decrease, but not become negative
Question #5
A multiplying the marginal utility of the last unit consumed by the number of units consumed.
B multiplying the marginal utility of the last unit consumed by the unit price.
C multiplying the marginal utility of the first unit consumed by the number of units consumed.
D summing up the marginal utilities of each unit consumed.
Question #6
A total utility is cumulate and marginal utility is not.
B total utility is more accurate than marginal utility.
C total utility is usually larger than marginal utility.
Question #7
A total utility decreases.
B total utility rises, but marginal utility falls.
C marginal utility increases.
D total utility decreases, but marginal utility rises.
Question #8
A Decline; Diminishing Marginal Utility
B Decrease; Total Utility
C Increase; Increasing Marginal Utility
D Increase; Diminishing Marginal Utility
Question #9
A the law of excessive returns
B increasing marginal utility
C the law of diminishing returns
Question #10
A Utility is impersonal and objective.
B Utility can be measured like temperature.
C Utility is personal and subjective.
Question #11
A utility
B opportunity cost
C contentment
Question #12
A Utility is determined by one’s own preferences.
B Utility is determined by the supply and demand curves.
C Producers determine utility by averaging the number of utils reported in customer feedback surveys.
Question #13
A a parallel shift in her budget line to the left, allowing her to buy less of both goods.
B a parallel shift in her budget line to the right, allowing her to buy more of both goods.
C either a shift of the budget line to the right or the left depending on Shannon’s personal preferences.
Question #14
A The income effect says that after the price decline, the consumer could purchase the same goods as before, and still have money left over to purchase more
B The substitution effect says that because the product is cheaper relative to other things the consumer purchases, he or she will tend to buy more of the product.
C The utility effect says that because the product is cheaper, a person can gain more utils of satisfaction through its purchase.
Question #15
A 2.25
B 1.5
C 2
Question #16
A Dollars are fungible, or have equal value to the individual, regardless of the situation.
B If you lost $20 today but then found $20 later on, you feel neutral because it’s as if you never lost anything at all.
C If you find $100 on the street, you will be more likely to spend if freely than you would be to take $100 out of your bank account.