Micro

Use the following graph of the market for milk to answer the question below. In this market, the equilibrium price is _______ and equilibrium quantity is _______.

$1.50 per gallon; 28 million gallons

Use the following market data to answer the question below. Price Quantity Purchased Quantity Sold $5 2,000 0 10 1,800 300 15 1,600 600 20 1,400 900 25 1,200 1,200 30 1,000 1,500 In the market shown in the table, the marginal benefit of 1,200th unit is

$25

Use the following table to answer the question below. Giovanni Jorge GB Corn GB Corn 0 160 0 320 40 120 20 240 80 80 40 160 120 40 60 80 160 0 80 0 The terms of trade for 1 pound of green beans must lie between _____ and _____ pounds of corn.

1, 4

Use the following table to answer the question below. Alexandra Natalie Scarves Sweaters Scarves Sweaters 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 What is the maximum a scarf would be traded for in this example?

1/2 of a sweater

Use the following table to answer the question below. Dave's Simon's Green Beans Corn Green Beans Corn 0 160 0 80 20 120 40 60 40 80 80 40 60 40 120 20 80 0 160 0 The terms of trade for 1 pound of corn must lie between _____ and _____ pounds of green beans.

1/2, 2

Use the following table to answer the question below. Giovanni Jorge GB Corn GB Corn 0 160 0 320 40 120 20 240 80 80 40 160 120 40 60 80 160 0 80 0 Dave's opportunity cost of producing 1 pound of corn is ______ pound(s) of green beans. Simon's opportunity cost of producing 1 pound of corn is ______ pound(s) of green beans.

1/2, 2

Use the following table to answer the question below. Giovanni's Jorge's Green Beans Corn Green Beans Corn 0 160 0 320 40 120 20 240 80 80 40 160 120 40 60 80 160 0 80 0 If Giovanni produces 40 pounds of green beans and Jorge produces 80 pounds of corn, then the total amount of green bean production equals _______ and the total amount of corn production equals ______. If Giovanni and Jorge specialize in their respective low-cost good, then the total pounds of green bean production equals _______ and the total pounds of corn production equals ______.

100, 200; 160, 320

Use the figure below to answer the following question. (1,6),(2,5),(3,4),(4,2),(5,1),(6,0),(7,-2) The total benefit of the second unit of X is _____.

11

Use the following table to answer the question below. Jake Jane GB Corn GB Corn 0 160 0 80 10 120 20 60 20 80 40 40 30 40 60 20 40 0 80 0 Without trade Jake consumes 20 pounds of green beans and 80 pounds of corn, and Jane consumes 40 pounds of green beans and 40 pounds of corn. If the terms of trade are 1 pound of green beans for 3 pounds of corn, and Jake sells Jane 72 pounds of corn, then the gains from trade for Jane are ______ pounds of green beans and ______ pounds of corn with trade and specialization.

16, 32

Use the following table to answer the question below. Dave's Production Possibilities Schedule Pounds of Green Beans Pounds of Corn 0 160 20 120 40 80 60 40 80 0 Dave's opportunity cost of producing 1 pound of green beans is ______ pound(s) of corn.

2

Use the following table to answer the question below. Alexandra's Natalia's Scarfs Sweaters Scarfs Sweaters 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 If they are given 2 days to work how many scarves could Alexandra make if she spent the whole time knitting scarves?

24

Use the following table to answer the question below. Jorge's Green Beans Corn 0 320 20 240 40 160 60 80 80 0 If Jorge produces 20 pounds of green beans, he can produce _______ pounds of corn.

240

A baker can produce two products: cupcakes and pies. The table below is the baker's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Cupcakes 0 12 20 36 56 81 Pies 10 8 6 4 2 0 In moving from combination F to E, the opportunity cost of an additional 2 pies is

25 cupcakes

Use the following table to answer the question below. Alexandra's Natalia's Scarfs Sweaters Scarfs Sweaters 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 What is the maximum a sweater would be traded for in this example?

3 scarves

Use the following table to answer the question below. Giovanni's Jorge's Green Beans Corn Green Beans Corn 0 160 0 320 40 120 20 240 80 80 40 160 120 40 60 80 160 0 80 0 If Giovanni and Jorge both specialize in the production of their respective low-cost goods, then the total production of corn equals ______ pounds and the total production of green beans equals _____ pounds

320, 160

A baker can produce two products: cupcakes and pies. The table below is the baker's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Cupcakes 0 12 20 36 56 81 Pies 10 8 6 4 2 0 Going from E to C shows that the opportunity cost of an additional 4 pies is

36 cupcakes

Use the following table to answer the question below. Jorge GB Corn 0 320 20 240 40 160 60 80 80 0 Jorge's opportunity cost of producing 1 pound of green beans is ______ pound(s) of corn.

4

A nation can produce two products: steel and wheat. The table below is the nation's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Steel 0 1 2 3 4 5 Wheat 100 90 75 55 30 0 Which of the following output-combinations is unattainable?

4 units of steal and 55 units of wheat

Use the following table to answer the question. Dave's Simon's Green Beans Corn Green Beans Corn 0 160 0 80 20 120 40 60 40 80 80 40 60 40 120 20 80 0 160 0 Assume Dave consumes 40 pounds of green beans and 80 pounds of corn without trade. Also, assume that Simon consumes 80 pounds of green beans and 40 pounds of corn without trade. Suppose Simon and Dave specialize and that the terms of trade are 1 pound of green beans for 1 pound of corn. If Simon sells Dave 80 pounds of green beans, then the gains from trade for Dave are ______ pounds of green beans and ______ pounds of corn with trade and specialization.

40, 0

A baker can produce two products: cupcakes and pies. The table below is the baker's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Cupcakes 0 12 20 36 56 81 Pies 10 8 6 4 2 0 A change from combination C to B means that

8 cupcakes were given up to make 2 pies.

A baker can produce two products: cupcakes and pies. The table below is the baker's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Cupcakes 0 12 20 36 56 81 Pies 10 8 6 4 2 0 If the baker uses all of its resources to produce only cupcakes, then its production combination will be

F

Use the following table to answer the question below. Giovanni Jorge GB Corn GB Corn 0 240 0 480 30 180 20 360 60 120 40 240 90 60 60 120 120 0 80 0 Who has the comparative advantage in the production of green beans?

Giovanni

Use the following table to answer the question below. Giovanni's Jorge's Green Beans Corn Green Beans Corn 0 240 0 480 30 180 20 360 60 120 40 240 90 60 60 120 120 0 80 0 Who has the comparative advantage in the production of green beans?

Giovanni

Which question is an illustration of a macroeconomic question? Is a corporation unresponsive to the demands of its customers? Is a consumer boycott an effective means of reducing a product's price? How will the government's budget deficit be affected by public infrastructure projects? Are oil companies ripping off consumers by charging exorbitantly high prices for gasoline?

How will the government's budget deficit be affected by public infrastructure projects?

Which of the following statements is an explanation for the law of increasing opportunity costs? Many economic resources are better at producing one product rather than another. The economy is employing all of its available resources. In any economy, the state of technology is changing and resources are variable. The economy is achieving productive efficiency by producing goods at the least cost.

Many economic resources are better at producing one product rather than another.

Use the following table to answer the question below. Alexandra Natalie Scarves Sweaters Scarves Sweaters 0 4 0 4 3 3 2 3 6 2 4 2 9 1 6 1 12 0 8 0 If Natalia were to export a good, which one(s) would she export?

Sweaters

Which of the following statements best expresses the law of diminishing marginal benefit?

The marginal benefit of the product increases as less of the product is consumed.

The economizing problem faced by a society is

a consequence of the fact that productive resources are scarce relative to economic wants.

Which of the following is a capital resource?

a piece of software used by a firm

The terms of trade can take on any value

above the seller's opportunity cost and below the buyer's opportunity cost.

Which of the following is the best synonym for "marginal" in economics?

additional

A point or combination that is on the production possibilities frontier is

attainable and efficient.

A point inside (to the left of) the production possibilities frontier is

attainable but not efficient.

Which of the following lists includes only capital resources (and therefore no labor or land resources)? an ice arena; a professional hockey player; hockey uniforms the owner of a new startup firm; a chemistry lab; a researcher a hydroelectric dam; water behind the dam; power lines automobiles owned by a car rental firm; computers at the car rental agency; the vans that shuttle rental customers to and from the airport

automobiles owned by a car rental firm; computers at the car rental agency; the vans that shuttle rental customers to and from the airport

Use the following table to answer the question below. Jorge's Production Possibilities Schedule Pounds of Green Beans Pounds of Corn 0 320 20 240 40 160 60 80 80 0 Jorge's production possibilities schedule demonstrates that

both corn and green beans require a trade-off.

Which of the following is a labor resource?

computer programmer

Use the following figure to answer the question below. The production possibilities frontier in the figure above satisfies the law of

constant opportunity costs.

Use the following table to answer the question below. Jake Jane GB Corn GB Corn 0 160 0 80 10 120 20 60 20 80 40 40 30 40 60 20 40 0 80 0 Jake should specialize in the production of which good?

corn

Marginal cost can be defined as the change in

cost resulting from one more unit of production.

Any point that falls on the production possibilities frontier in the figure above is referred to as:

efficient

A nation can produce two products: tanks and cars. The table below is the nation's production possibilities schedule: Production Possibilities Schedule Product A B C D E F Tanks 0 1 2 3 4 5 Cars 1000 950 850 650 350 0 Given the production possibilities schedule above, a combination of 3 tanks and 350 cars

is attainable but entails some unemployment or inefficient use of society's resources.

A point outside (to the right of) the production possibilities frontier is

not attainable

Use the following figure to answer the question below. The combination of sixty-five pounds of corn and sixty-five pounds of green beans is

not attainable

In analyzing human decision and action, economists assume that

people's behavior reflects rational self-interest.

The scarcity problem

persists because economic wants exceed available productive resources.

The two basic markets shown by the simple circular flow model are

product and resource

If someone produced too much of a good, this would suggest that

the good was produced past the point where its marginal cost exceeded its marginal benefit.

Which of the following most closely relates to the idea of opportunity costs?

trade offs