Econ Quiz
Which of the following is an example of a scarce good? A. Coca Cola B. Insulin C. Diamonds D. All are scarce goods E. Just B and C
All are scarce goods
How can I raise the price of coming to the discussion section A. Charge an admission fee B. Schedule the discussion section at inconvenient times C. Give extra homework to anyone who shows up D. All of the above E. None of the above
All of the above
Which of the following is true of the statement "All pollution must be stopped"? A. It ignores the importance of comparing marginal benefits and marginal costs. B. It does not consider that we may have too much pollution control C. It ignores the fact that to get more of anything, we must give up something else D. All of the above
All of the above
Grocery shoppers who are willing to pay high prices at one supermarket in order to avoid long lines at another A. Are not rational shoppers B. Would do anything to save money C. Are comparing the benefits and costs of their choice D. Are not comparing the benefits and costs of their choice
Are comparing the benefits and costs of their choice
A rational decision maker takes action only if A. The average benefit is greater then the average cost B. The marginal benefit is greater than the marginal cost C. The total benefit is positive D. Society will be made better off E. All of the above
The marginal benefit is greater than the marginal cost
If you are searching for a new pair of skis, it makes sense to keep looking as long as A. You haven't found the lowest price available B. The shopping time matters less to you than the lower price you expect to get C. There are stores left that you haven't checked D. You face no opportunity costs at all E. All of the above
The shopping time matters less to you than the lower price you expected to get
The opportunity cost to college athletes on scholarship who stay in school is A. The wages they could make otherwise B. The value of the scholarship they receive C. Nothing, unless they are good enough to turn professional D. Underestimates the value of a college education
The wages they could make otherwise
When airlines increase the number of safety inspections of their engines A. There is no cost, since more safety benefits everybody B. There is no cost for society as a whole, since only a few firms are affected C. There is a cost only if firms are forced to cancel flights D. There is a cost because firms and consumers must give up something in return
There is a cost because firms and consumers must give up something in return
In economics, the cost of something is A. The out-of-pocket expanse of obtaining it B. Always measured in money C. What you must give up to get it D. Always higher than people think
What you must give up to get it
If you pay $400 for a pool pass at a private club, the marginal cost to you of swimming on any given weekday will be A. $400 B. $10 if you swim 40 times C. $20 if the swim season lasts twenty weeks D. $3 if the swim season lasts twenty one weeks and there are seven days in a week E. Zero
Zero
