9/1/2021 Assignment - 1: Attempt review

Started on Wednesday, 1 September 2021, 2:09 PM

State Finished
Completed on Wednesday, 1 September 2021, 2:25 PM
Time taken 16 mins 45 secs
Grade 14.50 out of 15.00 (97%)

Question 1
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One likely result of monopoly power is

Select one:
a. A Wide Variety Of Substitute Products From Which Consumers Can Choose
b. A Higher Price Than Would Exist In A Competitive Industry
c. A Decline In Government Regulation
d. An Elimination Of Barriers To Industry Entry 

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Question 2
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Explicit costs are

Select one:
a. Exactly The Same As Implicit Costs
b. Actual Monetary Payments For Resources Purchased
c. Not Part Of Opportunity Cost
d. Only Cost Considered In Opportunity Cost

Question 3
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
Which of the following statements is true? If the marginal product of labor diminishes,

Select one:
a. Marginal Cost Rises
b. Average Total Cost Must Rise
c. Average Variable Cost Is Constant
d. Average Fixed Cost Rises

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Question 4
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If a firm ABX raises the price of its product, its total revenue will

Select one:
a. Increase Only If Demand Is Price Inelastic
b. Increase Only If Demand Is Price Elastic
c. Always Increase
d. Remain Constant, Regardless Of Change In Price

Question 5
Complete
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The law of demand says that the lower the price of a good, other things constant,

Select one:
a. The Smaller The Quantity Demanded Of That Good
b. The Larger The Demand For That Good
c. The Smaller The Demand For That Good
d. The Larger The Quantity Demanded Of That Good

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Question 6
Complete
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Which of the following is most likely to be an inferior good?

Select one:
a. Soft Drinks
b. Used Clothings
c. Restaurant Meals
d. Airline Travel

Question 7
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
Demand for a good will be elastic when

Select one:
a. The Time Period Is Relatively Long
b. The Time Period Is Relatively Short
c. There Are Few Substitutes
d. The Good Is Considered A Necessity

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Question 8
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If we say that demand has increased, we mean that there has been

Select one:
a. A Leftward Movement Along The Demand Curve
b. A Rightward Movement Along The Demand Curve
c. A Leftward Shift Of The Demand Curve
d. A Rightward Shift Of The Demand Curve

Question 9
Complete
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
Scarcity

Select one:
a. Exists Because People Have Wants That Are Unlimited Relative To The Availability Of Resources To Satisfy Those Wants
b. Applies When A Resource Is Not Freely Available
c. All Of These Are True
d. Means That Each Society And Each Individual Must Make Choices

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Question 10
Complete
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The income effect of an increase in the price of backpacks (a normal good) is a(n)

Select one:
a. Decrease In The Quantity Demanded For Backpacks
b. Increase In The Quantity Demanded Of Backpacks
c. Decrease In The Demand For Backpacks
d. Increase In The Demand For Backpacks

Question 11
Complete
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
If a firm is a natural monopoly, its

Select one:
a. Long-Run Average Cost Declines And Marginal Cost Rises Over The Full Range Of Market Demand
b. Long-Run Average Cost Declines Over The Full Range Of Market Demand
c. Long-Run Average Cost Increases Over The Full Range Of Market Demand
d. Total Fixed Cost Declines Over The Full Range Of Market Demand

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Question 12
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Which of the following statements about the substitution effect of a price change is true?

Select one:
a. It Affects The Consumer's Ability, Rather Than Willingness, To Purchase A Good.
b. It Assumes That The Consumer Substitutes More Expensive Goods For Cheaper Ones When Income Increases.
c. It Is Caused By A Change In Relative Prices.
d. It Is Usually Equal To The Income Effect.

Question 13
Complete
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Which of the following will cause the demand curve for a normal good to shift to the right?

Select one:
a. A Decrease In The Price Of The Good
b. A Decrease In Income
c. An Increase In The Price Of A Complementary Good
d. An Increase In The Price Of A Substitute Good

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Question 14
Complete
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Which of the following is most likely to be a fixed resource for Ramprasad's Country Fresh Pies, Inc.?

Select one:
a. Flour
b. Ovens
c. Chocolate Powder
d. Baker

Question 15
Complete
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
As a monopolist increases the quantity of output produced, what happens to price (P) and marginal revenue (MR)?

Select one:
a. P Decreases, But Mr Is Constant
b. Both P And Mr Remain Constant
c. P Is Constant, But Mr Decreases
d. Both P And Mr Decrease, But Mr Falls Faster Than P

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Question 16
Complete
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The marginal product of labor is the

Select one:
a. Cost Of An Additional Worker
b. Change In Revenue From Using One More Unit Of Labor
c. Change In Output From Using One More Unit Of Labor
d. Average Output Per Worker

Question 17
Complete
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
In the short run, how will a profit-maximizing monopolist react if its marginal cost suddenly increases? It will

Select one:
a. Lower Price To Expand Revenue Possibilities
b. Maintain The Current Price If Profit Is Still Positive
c. Increase Plant Size To Lower Marginal Cost
d. Restrict Output To Extract A Higher Price From Customers

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Question 18
Complete
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At the point where diminishing marginal returns set in, the slope of the total product curve is

Select one:
a. Positive And Increasing
b. Negative And Increasing
c. Negative And Decreasing
d. Positive And Decreasing

Question 19
Complete
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
Which of the following is a long-run adjustment?

Select one:
a. A New Economics Professor Is Hired On Campus.
b. Glow Electric Disassembles One Of Its Nuclear Power Plants.
c. General Motors Increases Its Orders For Steel.
d. Microsoft Cuts Back Its Hiring Of New Graduates.

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Question 20
Complete
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The law of demand is illustrated by a demand curve that is

Select one:
a. None Of These
b. Downward Sloping And Concave To Origin
c. Downward Sloping To The Right
d. Downward Sloping And Convex To Origin

Question 21
Complete
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
Economics is the study of

Select one:
a. How Individuals Amass Personal Fortunes In The Stock Market
b. Role That Money Plays In The Economy
c. How The Human Race Differs From Other Species
d. How Individuals And Nations Deal With The Problem Of Scarcity

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Question 22
Complete
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Along a linear demand curve,

Select one:
a. Total Revenues Are Constant
b. The Slope Is Constant, But The Price Elasticity Varies
c. The Price Elasticity Is Constant, But The Slope Varies
d. Both The Slope And Price Elasticity Are Constant

Question 23
Complete
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
Perfectly competitive firms respond to changing market conditions by varying their

Select one:
a. Information
b. Market Share
c. Price
d. Output

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Question 24
Complete
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Marginal product is defined as

Select one:
a. The Increase In Output That Occurs When All Resources Are Increased By The Same Proportion
b. The Increase In Revenue That Occurs When An Additional Unit Of A Resource Is Added
c. The Amount Of Additional Resources Needed To Increase Output By One Unit When All Resources Are Increased By The Same
Amount
d. The Increase In Output That Occurs When An Additional Unit Of A Resource Is Added, Holding All Other Resources Constant

Question 25
Complete
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
Along a linear demand curve, total revenue is maximized when demand is

Select one:
a. Unit Elastic
b. Inelastic
c. Elastic
d. Perfectly Elastic

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Question 26
Complete
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Which of the following is not a barrier to entry which leads to monopoly power.

Select one:
a. Homogeneous Product
b. Control Of An Essential Resource
c. Economies Of Scale
d. Patents And Copyrights

Question 27
Complete
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
Cash payments for steel to be used in production of two wheelers would be an example of

Select one:
a. Sunk Costs
b. Fixed Costs
c. Explicit Costs
d. Implicit Costs

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Question 28
Complete
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Which of the following are implicit costs for a typical firm?

Select one:
a. Insurance Costs
b. Opportunity Costs Of Capital Owned And Used By The Firm
c. Electricity Costs
d. Cost Of Labor Hired By The Firm

Question 29
Complete
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
Economics is best defined as the study of how

Select one:
a. Individuals Decide To Use Scarce Resources In An Attempt To Satisfy Their Unlimited Wants
b. To Eliminate The Problem Of Scarce Resources
c. To Make Money
d. The Government Should Deal With Unemployment And Inflation

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Question 30
Complete
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In economics, capital is defined as

Select one:
a. Money And Other Financial Assets
b. The Natural, Unskilled Abilities Of People
c. Human Creations Used In The Production Process
d. Natural Resources, Such As Water, Oil, And Iron Ore

 
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