econ

Refer to Table 1-1. What is Eva's marginal benefit if she decides to stay open for two hours instead of one hour?

. $25

For each pound of salami that Hungary produces, it gives up the opportunity to make 10 bottles of beer. Slovakia can produce 1 pound of salami for every 8 bottles of beer it produces. Which of the following is true about the comparative advantage between the two countries?

Hungary has the comparative advantage in beer.

Which of the following statements about an entrepreneur is true?

develops the vision for the firm and funds the producing unit

The U.S. Health Resources and Services Administration (HRSA) forecasts that in 2020

there will be a shortage of doctors in the United States.

In economics, the practical application of an invention is known as

innovation.

Economists assume that

optimal decisions are made at the margin.

Fiona shares an office with her ex-husband. Her share of the rent and utilities is $625 per month. She is considering moving to a home office which she will not have to share with anyone. The home office will not cost her anything as far as extra rent or utilities. Recently, you ran into Fiona at the gym and she tells you that she has moved into her home office. Fiona is as rational as any other person. As an economics major, you rightly conclude that

Fiona figures that the additional benefit of having her own office (as opposed to sharing) is at least $625

Refer to Table 2-9. Does either Japan or Thailand have an absolute advantage and if so, in what product?

Thailand has an absolute advantage in both products.

Mrs. Lovejoy decides to invest in companies which she believes are producing its goods based on the preferences of consumers. Mrs. Lovejoy is investing in companies that are

allocatively efficient.

Refer to Table 2-1. Assume Dina's Diner only produces sliders and hot wings. A combination of 60 sliders and 25 hot wings would appear

along Dina's production possibilities frontier.

Eva runs a small bakery in the village of Roggerli. She is debating whether she should extend her hours of operation. Eva figures that her sales revenue will depend on the number of additional hours the bakery is open as shown in the table above. She would have to hire a worker for those hours at a wage rate of $12 per hour. Refer to Table 1-1. What is Eva's marginal cost if she decides to stay open for two hours instead of one hour?

. $12

Which of the following statements about economic resources is false?

Economic resources include financial capital and money.

Suppose a cigar manufacturer currently sells 1,500 cigars per week and makes a profit of $3,000 per week. The plant foreman observes, "Although the last 500 cigars we produced and sold increased our revenue by $7,500 and our costs by $7,000, we are only making an overall profit of $3,000 per week so I think we need to cut back on production.Refer to Scenario 1-2. Had the firm not produced and sold the last 500 cigars, would its profit be higher or lower, and if so by how much?

Its profit would be $500 lower.

Which of the following contributes to the efficiency of markets?

Markets promote competition and voluntary exchange.

Refer to the Article Summary. If the 12 nations that are a part of the TPP do not agree to these stricter pharmaceutical patent laws as a way to increase intellectual property rights and ignore any international agreements which do protect these intellectual property rights, which of the following would most likely occur?

Pharmaceutical companies would decrease investment in the development of more experimental drugs.

Fast food restaurants produce a range of menu items such as hamburgers, chicken sandwiches, salads, and french fries. What fundamental economic question are they addressing by offering this range of items?

What to produce?

Figure 2-4 shows various points on three different production possibilities frontiers for a nation.Refer to Figure 2-4. A movement from ________ is the result of advancements in plastic production technology.

Y to Z

Figure 2-4 shows various points on three different production possibilities frontiers for a nation. Refer to Figure 2-4. Consider the following events:a. a decrease in the unemployment rateb. general technological advancementc. an increase in consumer wealth Which of the events listed above could cause a movement from V to X?

a only

Consider the following statements:a. Soda drinkers purchase more soda from a grocery store that sells soda at a lower price than other rival grocery stores in the area .b. Homeowners do not take steps to increase security even though they believe it is more costly to allow burglaries than to install security monitoring equipment. c. Manufacturers produce less of a particular cell phone when its selling price rises. Which of the above statements demonstrates that economic agents respond to incentives?

a only.

Refer to Table 2-1. Dina faces ________ opportunity costs in the production of sliders and hot wings.

constant

Refer to Figure 2-1. ________ is (are) unattainable with current resources.

d. Point C

In 18th century Europe, governments gave guilds legal authority to limit production of goods. This authority obstructed the market mechanism because the guild's actions prevented the forces of ________ from coordinating the self-interested decisions of producers and consumers.

demand and supply

The basic economic problem of scarcity

has always existed and will continue to exist

Dr. Goldfinger decides to invest in companies which he believes can "improve the productivity and efficiency" of health care services. What would Dr. Goldfinger need to do to try to achieve allocative efficiency?

invest in companies that produce goods and services based on consumer preferences

Human capital refers to

the accumulated skills and training workers have.