Archives: Quiz
Chapter 14 Pd The Short Run The Firm Will
Firms in Competitive Markets 3491 145. Susan quit her job as a teacher, which paid her $36,000 per year, in order to start her own catering business. She spent $12,000 of her savings, which had been earning 10 percent interest […]
Chapter 14 To maximize its profit, the firm should
Firms in Competitive Markets 3471 102. Refer to Scenario 14-2. To maximize its profit, the firm should a. increase its output. b. continue to produce 1,000 units. c. decrease its output but continue to produce. d. shut down. ANSWER: a […]
Chapter 14 what is Bob’s profit-maximizing quantity
Firms in Competitive Markets 3451 64. Refer to Table 14-14. Suppose that due to a decrease in the market demand for bread the market price of bread drops to $2.75 per loaf. At this new price, what is Bob’s profit-maximizing […]
Chapter 14 Firms in Competitive Markets Table
Firms in Competitive Markets 3431 25. Refer to Table 14-7. If the firm is maximizing profit, how much profit is it earning? a. $0.50 b. $7.50 c. $10 d. There is insufficient data to determine the firm’s profit. ANSWER: d […]
Chapter 14 Firms operating in competitive markets produce output levels where
Firms in Competitive Markets 3411 77. Firms operating in competitive markets produce output levels where marginal revenue equals a. price. b. average revenue. c. total revenue divided by output. d. All of the above are correct. ANSWER: d POINTS: 1 […]
Chapter 14 Which of the following statements regarding a competitive market
Firms in Competitive Markets 3391 36. Which of the following statements regarding a competitive market is not correct? a. There are many buyers and many sellers in the market. b. Because of firm location or product differences, some firms can […]
Chapter 14 A firm has market power if it can
Firms in Competitive Markets Multiple Choice – Section 00: Introduction 1. A firm has market power if it can a. maximize profits. b. minimize costs. c. influence the market price of the good it sells. d. hire as many workers […]
Chapter 13 Table 1319 What The Average Fixed Cost
The Costs of Production 3357 Scenario 13-22 Suppose that a small hair styling salon had revenues of $150,000 in a given year. The owner spent $10,000 on utilities, $60,000 on supplies (shampoo, conditioner, hair coloring and other chemicals, etc.), and […]
Chapter 13 Marginal Product keywords blooms Analysis78 What Effect Any Does
The Costs of Production 3343 57. There is general agreement among economists that the long–run time period exceeds one year. a. True b. False ANSWER: False POINTS: 1 DIFFICULTY: Difficulty: Moderate LEARNING OBJECTIVES: ECON.MANK.15.62 – LO: 13-4 NATIONAL STANDARDS: United […]
Chapter 13 An Inquiry into the Nature and Causes of the Wealth of Nations
The Costs of Production 3323 2. In his book, An Inquiry into the Nature and Causes of the Wealth of Nations, Adam Smith described a visit he made to a a. car factory. b. pin factory. c. washing machine factory. […]
Chapter 13 Production 51 Refer Figure 139 Which Curve Represents
The Costs of Production 3303 34. If a firm experiences constant returns to scale at all output levels, then its long–run average total cost curve would a. slope downward. b. be horizontal. c. slope upward. d. slope downward for low […]
Chapter 13 which of the statements below is most consistent with the shape
The Costs of Production 3283 78. Refer to Figure 13-3. Assuming that the firm depicted produces cookies, which of the statements below is most consistent with the shape of the total cost curve? a. Producing an additional cookie is always […]
Chapter 13 What is the marginal product of the fourth worker
The Costs of Production 3263 39. Refer to Table 13-2. What is the marginal product of the fourth worker? a. 300 units b. 200 units c. 100 units d. 50 units ANSWER: d POINTS: 1 DIFFICULTY: Difficulty: Moderate LEARNING OBJECTIVES: […]
Chapter 13 Christine could earn $6,000 per year preparing taxes
The Costs of Production 3243 121. Refer to Scenario 13-13. Christine could earn $6,000 per year preparing taxes. In calculating the economic profit of her cookie jar business, the $6,000 that Christine gives up is counted as part of her […]
Chapter 13 She Can Sell 300 glasses For 050 Each
The Costs of Production 3223 79. Refer to Scenario 13-1. Suppose Korie purchases the factory using $200,000 of her own money and $200,000 borrowed from a bank at an interest rate of 6 percent. What is Korie’s annual opportunity cost […]
Chapter 13 Bubba is a shrimp fisherman who used $2,000 from his personal
The Costs of Production 3203 37. Bubba is a shrimp fisherman who used $2,000 from his personal savings account to buy a boat and equipment for his shrimp business. The savings account paid 2% interest. What is Bubba’s annual opportunity […]
Chapter 13 Analyzing the behavior of the firm enhances our understanding
The Costs of Production Multiple Choice – Section 00: Introduction 1. Analyzing the behavior of the firm enhances our understanding of a. what decisions lie behind the market supply curve. b. how consumers allocate their income to purchase scarce resources. […]
Chapter 12 Calculate The Marginal Tax Rate and The Average
3168 The Design of the Tax System 12. “Income security” programs comprised 33 percent of the federal government’s spending in 2011. Give a few examples of the programs included in this category. ANSWER: Social Security, unemployment insurance, welfare payments POINTS: […]
Chapter 12 Tax evasion is illegal, but tax avoidance is legal
The Design of the Tax System 3151 40. Tax evasion is illegal, but tax avoidance is legal. a. True b. False ANSWER: True POINTS: 1 DIFFICULTY: Difficulty: Easy LEARNING OBJECTIVES: ECON.MANK.15.56 – LO: 12–2 NATIONAL STANDARDS: United States – BUSPROG: […]
Chapter 12 Economists who favor the proposal would argue that
The Design of the Tax System 3131 88. In 2009, the top 1 percent of income earners a. made about 13 percent of all income. b. paid about 22 percent of all taxes. c. made over 2.5 times the percentage […]
Chapter 12 Design The Tax System 312167 Which The Following
The Design of the Tax System 3111 48. Which of the following statements is correct? a. Vertical equity is the idea that taxpayers with similar abilities to pay taxes should pay the same amount. b. Horizontal equity is the idea […]
Chapter 12 Suppose New York City passes a local “big gulp” tax that
The Design of the Tax System 3091 6. Suppose New York City passes a local “big gulp” tax that taxes carbonated beverages larger than 20 ounces if they contain sugar or high fructose corn syrup. If the revenue from the […]
Chapter 12 Everyone Owes The Same Amount Tax Regardless
The Design of the Tax System 3071 183. Refer to Table 12-10. If Willie has $170,000 in taxable income, his marginal tax rate is a. 25%. b. 28%. c. 33%. d. 35%. ANSWER: b POINTS: 1 DIFFICULTY: Difficulty: Moderate LEARNING […]
Chapter 12 States Income Tax Rates For Single Individual
The Design of the Tax System 3051 Table 12-4 Income Tax rate $0 to $40,000 25% $40,000 to $100,000 40% Over $100,000 60% 142. Refer to Table 12-4. What is the marginal tax rate for a person who makes $35,000? […]
Chapter 12 Maurice Earns 60000 Per Year Salary And
The Design of the Tax System 3031 99. Refer to Scenario 12-4. The taxpayer faces a. an average tax rate of 22.5 percent when her income is $30,000. b. an average tax rate of 22.0 percent when her income is […]
Chapter 12 Design The Tax System Tax All Forms
The Design of the Tax System 3011 54. Refer to Scenario 12-3. How much total consumer surplus do Regina and Roger collectively receive from consuming cheesecake? a. $3 b. $6 c. $9 d. $13 ANSWER: d POINTS: 1 DIFFICULTY: Difficulty: […]
Chapter 12 Italian Gelato And The Price Rises 5
The Design of the Tax System 2991 14. When the government taxes labor earnings we can expect people to a. work more so they can keep the same standard of living. b. work less and enjoy more leisure. c. quit […]
Chapter 12 When government receipts exceed total government spending during
The Design of the Tax System 2971 75. When government receipts exceed total government spending during a fiscal year, the difference is a. a budget surplus. b. a budget deficit. c. the national debt. d. automatically refunded. ANSWER: a POINTS: […]
Chapter 12 The government taxes corporate income on the basis of
The Design of the Tax System 2951 34. The government taxes corporate income on the basis of a. profit. b. the amount the firm receives for the goods or services it sells. c. the number of employees. d. All of […]
Chapter 12 Design The Tax System Which Category
The Design of the Tax System Multiple Choice – Section 00: Introduction 1. Who observed that “in this world nothing is certain but death and taxes”? a. Mark Twain b. P.T. Barnum c. Ben Franklin d. Richard Nixon 2. In […]
Chapter 11 Goods And Common Resources 31 Recall The Four
2914 Public Goods and Common Resources 7. Are common resources excludable? Are they rival in consumption? ANSWER: No, common resources are not excludable. Yes, they are rival in consumption. POINTS: 1 DIFFICULTY: Difficulty: Easy LEARNING OBJECTIVES: ECON.MANK.15.50 – LO: 11-1 […]
Chapter 11 Goods And Common Resources 290543 Dave And Jesse
Public Goods and Common Resources 2895 13. You and your friends watch a movie in your bedroom. For you and your friends, the enjoyment that you get from watching the movie is not rival in consumption. a. True b. False […]
Chapter 11 Why is the cow not one of these endangered species even though
Public Goods and Common Resources 2875 74. Many species of animals are common resources, and many must be protected by law to keep them from extinction. Why is the cow not one of these endangered species even though there is […]
Chapter 11 Three business people meet for lunch at an Indian restaurant
Public Goods and Common Resources 2855 32. Three business people meet for lunch at an Indian restaurant. They decide that each person will order an item off the menu, and they will share all dishes. They will split the cost […]
Chapter 11 The Occupational Safety And Health Administration
Public Goods and Common Resources 2835 118. A town engineer comes to the city council with a proposal to install a traffic light at a certain intersection that currently has a stop sign. The benefit of the traffic light is […]
Chapter 11 Analysis Must Include Not Only The Cost
Public Goods and Common Resources 2815 80. Refer to Table 11–3. If the marginal cost of police protection is constant at $72 per person-hour, what is the efficient level of police protection to provide? a. 9 person-hours b. 18 person–hours […]
Chapter 11 The difference between specific knowledge and general knowledge
Public Goods and Common Resources 2795 42. The difference between specific knowledge and general knowledge is that a. the creation of general knowledge is usually more profitable for the creator. b. specific knowledge is excludable, while general knowledge is not […]
Chapter 11 Yankee ville Arises Because The Free rider Problem Does
Public Goods and Common Resources 2775 Multiple Choice – Section 02: Public Goods 1. Because public goods are a. excludable, people have an incentive to be free riders. b. excludable, people do not have an incentive to be free riders. […]
Chapter 11 Which of the following goods is excludable but not rival
Public Goods and Common Resources 2755 39. Which of the following goods is excludable but not rival in consumption? a. a congested toll road b. fire protection in a small town c. a tornado siren d. whales in the ocean […]
Chapter 11 For private goods allocated in markets
Public Goods and Common Resources Multiple Choice – Section 00: Introduction 1. For private goods allocated in markets, a. prices guide the decisions of buyers and sellers and these decisions lead to an efficient allocation of resources. b. prices guide […]
Chapter 10 Sheryl sits on her patio and plays her guitar while her
Externalities 2719 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4. Sheryl sits on her patio and plays her guitar while her […]
Chapter 10 According The Coase Theorem Whatever The Initial
Externalities 2703 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 24. To determine the optimal level of output in a market with […]
Chapter 10 Suppose that Company A’s railroad cars pass through Farmer
Externalities 2683 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 43. Suppose that Company A’s railroad cars pass through Farmer B’s corn […]
Chapter 10 According The Coase Theorem Private Markets Will
Externalities 2663 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Multiple Choice – Section 03: Private Solutions to Externalities 1. Externalities can […]
Chapter 10 The Business Activities Firm Confer Positive Externalities
Externalities 2643 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 79. Which of the following require firms to pay to pollute? (i) […]
Chapter 10 The number of shrubs that are planted is then
Externalities 2623 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 40. Suppose planting flowering shrubs creates a positive externality equal to $7 […]
Chapter 10 Each unit of plastics that is produced results in an external
Externalities 2603 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Multiple Choice – Section 02: Public Policies toward Externalities 1. Refer to […]
Chapter 10 The Socially Optimal Quantity Education Will Exceed
Externalities 2583 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 163. Refer to Figure 10–11. “The social value of the last unit […]
Chapter 10 The Private Cost Producing The 160th Unit
Externalities 2563 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 122. One drawback to industrial policy is that a. technology spillovers are […]
Chapter 10 What is the socially optimal quantity of plastic
Externalities 2543 © 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 81. If we know that the supply curve for good x fails […]