1) The three most important sources of federal tax revenue in order of descending
importance are:
A.sales, payroll, and personal income taxes.
B.personal income, corporate income, and sales taxes.
C.personal income, corporate income, and payroll taxes.
D.personal income, payroll, and corporate income taxes.
2) Excise taxes on imported goods that help shield domestic producers of the good are
called:
A.protective tariffs.
B.import quotas.
C.revenue tariffs.
D.voluntary export restrictions.
3)
Refer to the diagram, where variable inputs of labor are being added to a constant
amount of property resources. The total output of this firm will cease to expand:
A.if a labor force in excess of Q1 is employed.
B.if a labor force in excess of Q2 is employed.
C.if a labor force in excess of Q3 is employed.
D.only if the marginal product curve becomes negative at all levels of output.
4) Which of the following factors contributes most to the high per-capita incomes in
developed nations?
A.High rates of population growth
B.High rates of economic growth
C.Low rates of investment
D.Low rates of saving
5) The lines on a topographical map are analogous to a(n):
A.series of demand curves.
B.series of supply curves.
C.indifference map.
D.series of budget constraints.
6) In recent decades, the cost of health care has:
A.Risen fast due to both rising prices and increasing quantities of services consumed
B.Risen due solely to rising prices of health care goods and services
C.Remained somewhat stable due to rising prices but falling quantities of services
consumed
D.Risen due solely to rising quantities of medical goods and services consumed
7) Which statement is true of a world with a system of fixed exchange rates as opposed
to one with floating rates?
A.It requires less world liquidity or reserves
B.It creates less confidence about future values of currencies
C.It facilitates the transmission of shifts in economic conditions between countries
D.It increases the role of the central banks in foreign exchange markets
8) In monopsony:
A.each firm employs a small portion of the total supply of labor.
B.the workforce is highly mobile.
C.the wage rate paid by the employer varies directly with the number of workers
employed.
D.the employer is a “wage taker.”
9)
Refer to the above graph of the representative firm in monopolistic competition.
Marginal revenue and marginal cost intersect at point:
A.a
B.b
C.c
D.d
10)
Refer to the above graphs. For which graph is the supply perfectly inelastic?
A.Graph A
B.Graph B
C.Graph C
D.Graph D
11) When economists describe “a market,” they mean:
A.A place where stocks and bonds are traded
B.A communication network that allow individuals to keep in touch with each other
C.A hypothetical place where the production of goods and services takes place
D.A system that allows buyers and sellers to interact with one another
12) Economists would classify all of the following as “land,” except:
A.Two thousand acres of virgin forest
B.A hydroelectric dam
C.Crude oil reserves
D.Iron ore deposits
13) If a law firm prefers to hire men over women because the firm has found men to be
more productive, on average, then the firm is practicing:
A.Wage discrimination
B.Reverse discrimination
C.Statistical discrimination
D.Human-capital discrimination
14) Per capita income in the United States in 2010 was how many times greater than
that in China?
A.3 times
B.6 times
C.11 times
D.17 times