Ch. 1 Quiz
A point inside the production possibilities curve is:
attainable, but the economy is inefficient
Purposeful behavior suggests that:
Individuals may make different choices because of different desired outcomes
The comment that "the minimum wage should be raised to give working people in this country a fair wage" is an example of:
A normative economic statement
Which is considered a factor of productions?
An auto plant
Rational behavior implies that everyone will make identical choices
False
Which of the following is a Microeconomic statement?
The price of personal computers declined last year
The assertion that "There is no free lunch" means that:
The production involves the use of scarce resources and thus the sacrifice of alternative goods
A positive economic statement is one that:
is based upon facts
The production possibilities curve tells us:
the combinations of two goods that can be produced with society's available resources.
Macroeconomics approaches the study of economics from the viewpoint of:
the entire economy