Principles of Economics Practice Exam
Course Introduction
Principles of Economics introduces students to the fundamental concepts and theories that form the foundation of economic analysis. The course explores both microeconomics and macroeconomics, focusing on topics such as supply and demand, market structures, consumer and producer behavior, national income, inflation, unemployment, and the role of government in the economy. Students will develop a thorough understanding of how economic agents make decisions, how markets function, and how various economic policies impact individuals and society as a whole. The course aims to cultivate critical thinking and analytical skills necessary to interpret and evaluate real-world economic issues.
Recommended Textbook
Economics 10th Edition by Stephen Slavin
Available Study Resources on Quizplus
32 Chapters
8094 Verified Questions
8094 Flashcards
Source URL: https://quizplus.com/study-set/3246
Page 2
Chapter 1: A Brief Economic History of the United States
Available Study Resources on Quizplus for this Chatper
258 Verified Questions
258 Flashcards
Source URL: https://quizplus.com/quiz/64490
Sample Questions
Q1) The American economy is ________ economy in the world today.
A)the largest and the fastest growing
B)neither the largest nor the fastest growing
C)the largest,but not the fastest growing
D)the fastest growing,but not the largest
Answer: C
Q2) Which of the following was an element of the New Deal?
A)Wage and price controls
B)Unemployment insurance and bank deposit insurance
C)Regulation of the stock market
D)Unemployment insurance,bank deposit insurance,and regulation of the stock market,but not wage and price controls
Answer: D
Q3) Highway and home construction had a boom from
A)1925-1940.
B)1935-1950.
C)1945-1960.
D)1965-1980.
E)1975-1990.
Answer: C
To view all questions and flashcards with answers, click on the resource link above. Page 3
Chapter 2: Resource Utilization
Available Study Resources on Quizplus for this Chatper
265 Verified Questions
265 Flashcards
Source URL: https://quizplus.com/quiz/64489
Sample Questions
Q1) Statement I: In the modern global economy,if our steel industry were operating at full capacity we could easily get steel from other steel-producing countries.
Statement II: The only constraints on our production possibilities frontier are physical constraints such as the number of steel factories available,etc.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.
Answer: A
Q2) Economic growth can be shown by ____________________ production possibilities curve.
A)an outward shift of the
B)an inward shift of the
C)a movement from one point to another along the
D)a movement to a point inside the
Answer: A
Q3) Place point Y on the graph to indicate a deep depression.
Answer: 11ea7a67_7d27_9ebd_89bd_79f6828943f8_TB5852_00
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: The Mixed Economy
Available Study Resources on Quizplus for this Chatper
262 Verified Questions
262 Flashcards
Source URL: https://quizplus.com/quiz/64488
Sample Questions
Q1) A person will do more good pursuing his own self-interest than if he consciously set out to promote the public good was the view of
A)Karl Marx.
B)John Maynard Keynes.
C)Mikhail Gorbachev.
D)Adam Smith.
Answer: D
Q2) Karl Marx
A)believed that the state would eventually "wither away."
B)wrote Das Kapital.
C)believed that the factory owner,by paying his workers meager wages,was able to use this surplus to buy more capital goods.
D)said whoever controlled a society's capital controlled that society.
E)all of the statements about Karl Marx are true.
Answer: E
Q3) The government is able to alter the outcome of the three basic economic questions (what? how? and for whom?)by _____________,________________,and
Answer: taxing;spending;regulating (any order)
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 4: Supply and Demand
Available Study Resources on Quizplus for this Chatper
255 Verified Questions
255 Flashcards
Source URL: https://quizplus.com/quiz/64487
Sample Questions
Q1) When demand falls and supply remains the same,equilibrium price _______ and equilibrium quantity ________.
A)falls,falls
B)rises,rises
C)falls,rises
D)rises,falls
Q2) The forces of demand and supply ensure that at equilibrium
A)there are no shortages or surpluses.
B)there are no shortages,but there may be surpluses.
C)there are no surpluses,but there may be shortages.
D)there may be shortages or surpluses.
Q3) An increase in supply means that quantity supplied rises
A)at least one price.
B)at a few prices.
C)at most prices.
D)at all prices.
Q4) At equilibrium
A)quantity supplied is equal to quantity demanded.
B)quantity demanded is greater than quantity supplied.
C)quantity supplied is greater than quantity demanded.
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: The Household Consumption Sector
Available Study Resources on Quizplus for this Chatper
312 Verified Questions
312 Flashcards
Source URL: https://quizplus.com/quiz/64486
Sample Questions
Q1) How much is the APC when disposable income is $1200 billion?
Q2) When disposable income is 2000,how much is consumption?
Q3) An increase in interest rates results in A)increased consumption and decreased savings.
B)increased savings and decreased consumption. C)an increase in autonomous consumption.
D)an increase in the durable goods expenditures.
Q4) Saving is negative below a disposable income of A)0.
B)1500.
C)2000.
D)2500.
E)3000.
Q5) According to the consumption function,when income rises,__________________.
Q6) How much is induced consumption when disposable income is $20 billion?
Q7) How much is induced consumption?
Q8) Induced consumption is zero when ___________________________.
Q9) Autonomous consumption is _________.
Q10) Most of C is spent on __________________. Page 7
Q11) How much is induced consumption at a disposable income of 4000?
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 6: The Business Investment Sector
Available Study Resources on Quizplus for this Chatper
295 Verified Questions
295 Flashcards
Source URL: https://quizplus.com/quiz/64485
Sample Questions
Q1) How much is its capitalization?
Q2) During a recession,inventory investment A)goes up. B)is steady. C)goes down. D)is negative.
Q3) How much was the firm's gross investment?
Q4) If gross investment is greater than depreciation,then net investment is _____________ and the economy is __________________.
A)positive,expanding B)positive,shrinking C)negative,expanding D)negative,shrinking
Q5) Would you borrow the money and invest it?
Q6) When disposable income is 4,000,the APC is A).25.
B).5.
C).75.
D)1.0.
E)1.25.
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 7: The Government Sector
Available Study Resources on Quizplus for this Chatper
301 Verified Questions
301 Flashcards
Source URL: https://quizplus.com/quiz/64484
Sample Questions
Q1) Which statement is the most accurate?
A)Most public goods and services could be provided more profitably by private companies.
B)Nearly all of the money that the federal government redistributes goes from the rich and the middle class to the poor.
C)One of the ways the federal government stabilizes our economy is by placing a floor under our economy's purchasing power.
D)The total federal budget today is less than 5 percent of GDP.
Q2) The second largest source of federal revenue is
A)the individual income tax.
B)the corporate income tax.
C)the payroll tax.
D)sales and excise taxes.
Q3) Of all federal receipts (tax receipts and borrowing)about _____ percent comes from the individual income tax.
Q4) An average tax rate of 20 percent on the poor and 1 percent on the rich would be
A)progressive.
B)proportional.
C)regressive.
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 8: The Export-Import Sector
Available Study Resources on Quizplus for this Chatper
177 Verified Questions
177 Flashcards
Source URL: https://quizplus.com/quiz/64483
Sample Questions
Q1) The trading bloc that has eliminated all internal tariffs is
A)the European Union.
B)NAFTA.
C)Mercosur.
D)the World Trade Organization.
Q2) The most important economic concept to consider when deciding whether to produce a product domestically or import the product is
A)law of supply
B)law of demand
C)opportunity cost
D)law of increasing cost
Q3) Which was NOT an argument of the protesters against the IMF,WTO,and the World Bank?
A)We are exploiting factory workers in poor countries.
B)Our subsidized grain exports sold below cost in poor countries,driving local farmers out of business.
C)Globalization is hurting the American standard of living.
D)Globalization is lowering American wages and exporting high paying jobs.
Q4) The European Common Market was renamed the _____________________.
Q5) The C + I + G + Xn curve lies ____________ the C + I + G curve.
Page 11
To view all questions and flashcards with answers, click on the resource link above.
Chapter 9: Gross Domestic Product
Available Study Resources on Quizplus for this Chatper
336 Verified Questions
336 Flashcards
Source URL: https://quizplus.com/quiz/64482
Sample Questions
Q1) Suppose that GDP rose from $8 trillion to $9 trillion,while the GDP deflator increased from 100 to 120.Real GDP
A)rose.
B)fell.
C)remained constant.
D)cannot be calculated from these figures.
Q2) If our GDP triples,our GDP deflator stays the same,and our population doubles,our real per capital GDP will
A)stay exactly the same.
B)rise by 33 1/3 percent.
C)rise by 50%.
D)rise by 66 2/3 percent.
E)double.
Q3) If the average workweek declines and the level of output and prices remain constant,GDP will ___.
Q4) The two things we want to avoid doing when compiling GDP is _____ and including ___.
Q5) If real GDP rises by 2.0 percent and the GDP deflator rises by 1.6 percent,find the percentage change in GDP.
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 10: Economic Fluctuations, unemployment, and Inflation
Available Study Resources on Quizplus for this Chatper
394 Verified Questions
394 Flashcards
Source URL: https://quizplus.com/quiz/64481
Sample Questions
Q1) Suppose that the CPI doubles from 1995 to 2004.That means that prices have risen by
A)50%.
B)100%.
C)150%.
D)200%.
E)400%.
Q2) If the cyclical unemployment rate were 2 percent,then the overall unemployment rate would be _____ percent.
Q3) A computerized job bank would be most effective in reducing _____ unemployment.
A)seasonal
B)frictional
C)cyclical
D)structural
Q4) The dividing line between a recession and a depression is
A)unclear.
B)a ten percent rate of unemployment.
C)determined by government officials.
D)set by law.
Q5) In October 2009 our unemployment rate averaged _________%.
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 11: Classical and Keynesian Economics
Available Study Resources on Quizplus for this Chatper
241 Verified Questions
241 Flashcards
Source URL: https://quizplus.com/quiz/64480
Sample Questions
Q1) Which best describes the classical theory of employment?
A)We will always have a great deal of unemployment.
B)We will usually have a great deal of unemployment.
C)We will occasionally have some unemployment,but our economy will automatically move back toward full employment.
D)We never have any unemployment.
Q2) The classical economists believed that if saving exceeded investment,the ____________.
Q3) Jean Baptiste Say believed in all of the following EXCEPT that
A)Supply creates its own demand.
B)People work so that they can save.
C)Everything produced in an economy is sold.
D)The normal state of economic affairs is full employment.
Q4) According to the classical economists,if there were substantial unemployment,there would be a fall in ____,____,and ____.
Q5) A curve showing the amount of real output we collectively wish to purchase at various alternative price levels is called the __________.
Q6) Keynesian macroeconomic theory may be summarized by the idea that demand creates ____.
Page 14
To view all questions and flashcards with answers, click on the resource link above.
Chapter 12: Fiscal Policy and the National Debt
Available Study Resources on Quizplus for this Chatper
377 Verified Questions
377 Flashcards
Source URL: https://quizplus.com/quiz/64479
Sample Questions
Q1) Which of the following policies should not be used to close a recessionary gap?
A)Increases in government spending
B)Tax cuts
C)Increases in transfer payments
D)An income tax surcharge
Q2) During the recession in 2001,President Bush extended the effectiveness of the automatic stabilizers by
A)giving tax credits to companies.
B)increasing transfer payments to needy.
C)permitting unemployed to receive for an additional 13 week period.
D)increasing the excise expensive automobiles.
Q3) In general,we could say that
A)liberal economists favor a larger economic role for government and conservatives favor a smaller role.
B)conservative economists favor a larger economic role for government and liberals favor a smaller role.
C)both liberals and conservatives favor a larger economic role for government.
D)liberals and conservatives favor a smaller economic role for government.
Q4) The goals of fiscal policy are (1)________; (2)_________;and (3)_______.
Q5) If the MPC is .9,how much is the multiplier?
Page 15
To view all questions and flashcards with answers, click on the resource link above.
Chapter 13: Money and Banking
Available Study Resources on Quizplus for this Chatper
278 Verified Questions
278 Flashcards
Source URL: https://quizplus.com/quiz/64478
Sample Questions
Q1) Statement I: Over 99% of all banks are members of the FDIC.
Statement II: The savings and loan debacle had its origins in the late 1980s.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.
Q2) Inflation impairs money's ability to do its job as a _____.
Q3) The transaction demand for money is most clearly related to its use as a A)medium of exchange.
B)standard of value.
C)measure of value.
D)store of value.
E)standard of deferred payment.
Q4) Bank deposit creation is limited by A)reserve requirements.
B)the interest rate.
C)whether a bank is nationally or state chartered.
D)whether a bank is in a large city or rural area.
Q5) Money is channeled from savers to borrowers by banks and other ______.
Page 16
Q6) The term "double coincidence of wants" is necessary for _________ to take place.
To view all questions and flashcards with answers, click on the resource link above.
Chapter 14: The Federal Reserve and Monetary Policy
Available Study Resources on Quizplus for this Chatper
365 Verified Questions
365 Flashcards
Source URL: https://quizplus.com/quiz/64477
Sample Questions
Q1) "Banging the gong" means that the Fed
A)has lowered the discount rate and raised the fed funds target rate.
B)has raised the discount rate and lowered the fed funds target rate.
C)changes the discount rate and the fed funds target rate simultaneously.
D)sells securities in the open market.
Q2) The writing of a $1,000 check that is drawn on Bank A and deposited in Bank B
A)increases the money supply initially by $1,000.
B)reduces total reserves of Bank A by $1,000 and increases the total reserves of Bank B by the same amount.
C)reduces the required reserves of Bank A by $1,000 and increases the required reserves of Bank B by the same amount.
D)reduces the excess reserves of Bank A by $1,000 and increases the excess reserves of Bank B by the same amount.
Q3) The most frequently used tool of monetary policy is
A)the discount rate.
B)reserve requirements.
C)open market operations.
D)moral suasion.
E)credit controls.
To view all questions and flashcards with answers, click on the resource link above.
Page 17
Chapter 15: A Century of Economic Theory
Available Study Resources on Quizplus for this Chatper
308 Verified Questions
308 Flashcards
Source URL: https://quizplus.com/quiz/64476
Sample Questions
Q1) According to the rational expectations theory the rate of inflation largely depends on
A)business expectations of interest rate levels.
B)business expectations about international trade.
C)what people expect to happen to prices.
D)the unemployment rate.
Q2) _______ economics is most closely associated with fighting recessions and depressions.
A)Classical
B)Supply-side
C)Keynesian
D)Monetarist
E)Rational expectations
Q3) According to the equation of exchange,an increase in either velocity or the money supply will
A)cause GDP to rise.
B)not affect the price level.
C)cause the price level to fall.
D)cause GDP to fall.
Q4) If M doubled and V fell by 25%,what would happen to PQ?
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 16: Economic Growth and Productivity
Available Study Resources on Quizplus for this Chatper
231 Verified Questions
231 Flashcards
Source URL: https://quizplus.com/quiz/64475
Sample Questions
Q1) The theory of population of _____ predicted that the world's population would increase faster than the food supply.
A)Thomas Robert Malthus
B)Mancur Olson
C)Lester Thurow
D)Edward Denison
Q2) Statement I.China has made impressive strides toward industrial development. Statement II.Taiwan is considered a newly industrialized country.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.
Q3) Between 1973 and 1995,productivity in the United States had
A)been rising at a faster rate than it was before 1973.
B)been rising at a slower rate than it was before 1973.
C)been rising at about the same rate as it was before 1973.
D)not risen.
E)been falling.
Q4) Since World War II,we have had one long period of very slow productivity growth beginning ____ and ending in ___.
Page 19
To view all questions and flashcards with answers, click on the resource link above.
Chapter 17: Demand,supply,and Equilibrium
Available Study Resources on Quizplus for this Chatper
223 Verified Questions
223 Flashcards
Source URL: https://quizplus.com/quiz/64474
Sample Questions
Q1) If people have trouble selling their houses,they should ________ the price of the houses until they make the sale.
Q2) A move from H to F represents
A)an increase in quantity demanded.
B)a decrease in quantity demanded.
C)an increase in demand.
D)a decrease in demand.
Q3) Factors which quickly and directly affect market demand include all of the following except
A)prices of related goods.
B)the number of buyers.
C)income.
D)tastes and preferences.
E)the cost of resources.
Q4) A decrease in supply is shown graphically by a shift of the supply curve to the _______.
Q5) A change in the cost of production will generally prompt a change in _________.
Q6) An increase in the cost of building materials will generally lead to a _______ in the ______ curve for new homes.
To view all questions and flashcards with answers, click on the resource link above.
Chapter 18: The Price Elasticities of Demand and Supply
Available Study Resources on Quizplus for this Chatper
231 Verified Questions
231 Flashcards
Source URL: https://quizplus.com/quiz/64473
Sample Questions
Q1) Demand is elastic if elasticity is greater than _____.
Q2) When the cross elasticity of demand for two services is positive,then these services are _________.
A)complements
B)substitutes
C)both complements and substitutes
D)neither complements nor substitutes
Q3) When supply is perfectly elastic,the entire tax burden falls on the ____.
Q4) A 15% decrease in the price of sugar causes the quantity demanded to rise by 5%.The demand for sugar is
A)perfectly elastic.
B)relatively elastic.
C)unit elastic.
D)relatively inelastic.
E)perfectly inelastic.
Q5) An elasticity of demand that is slightly elastic would be (write number)____.
Q6) If the price elasticity of demand is zero for all prices,the demand curve is A)horizontal.
B)vertical.
C)neither horizontal nor vertical.
Page 21
To view all questions and flashcards with answers, click on the resource link above.
Chapter 19: Theory of Consumer Behavior
Available Study Resources on Quizplus for this Chatper
132 Verified Questions
132 Flashcards
Source URL: https://quizplus.com/quiz/64472
Sample Questions
Q1) Karen O'Brien has the demand schedule for grapefruit shown in the table below.
A)Her total utility for four grapefruits would be ____.
B)Her marginal utility from the fifth grapefruit would be ____.
C)If the price were 40 cents,her consumer surplus would be ____.
\[\begin{array} { | c | c | c | c | }
\hline \text { Price } & \text { Quantity Demand } & \text { Marginal Utility } & \text { Total Utility } \\
\hline \$ 1.00 & 1 & & \\
\hline \$ .70 & 2 & & \\
\hline \$ .50 & 3 & & \\
\hline \$ .40 & 4 & & \\
\hline \$ .25 & 5 & & \\
\hline
\end{array}\]
Q2) If you pay a very high price for a good or service,you _____ (are/are not)getting ripped off.
Q3) When Karen buys eight units of a particular good or service,______________.
A)she has no consumer surplus
B)she has a consumer surplus
C)there is no way of knowing whether she has a consumer surplus
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 20: Cost
Available Study Resources on Quizplus for this Chatper
240 Verified Questions
240 Flashcards
Source URL: https://quizplus.com/quiz/64471
Sample Questions
Q1) The ATC curve is curve
A)W.
B)X.
C)Y.
D)Z.
Q2) If a firm's sales are $8 million,its fixed costs are $4 million,and its variable costs are $3 million,what does it do in the (a)short run? (b)long run?
Q3) When AFC is falling,ATC
A)must be rising.
B)must be falling.
C)may be falling or rising.
D)will remain constant.
Q4) When average total cost is declining,then
A)marginal cost must be less than average total cost.
B)marginal cost must be greater than average total cost.
C)average total cost must be greater than average fixed cost.
D)average variable cost must be declining.
Q5) State the minimum points (in dollars and cents)of (a)the AVC, (b)the ATC.
Q6) The marginal cost curve intersects the ATC at the _____________ of the ATC curve.
Page 23
To view all questions and flashcards with answers, click on the resource link above.
Chapter 21: Profit, loss, and Perfect Competition
Available Study Resources on Quizplus for this Chatper
365 Verified Questions
365 Flashcards
Source URL: https://quizplus.com/quiz/64470
Sample Questions
Q1) Under perfect competition,price is equal to
A)marginal revenue.
B)total revenue divided by output.
C)average revenue.
D)All of the choices are equal to price under perfect competition.
Q2) Marginal cost is the ___________________;marginal revenue is the ______________.
Q3) Economic profits in the rent-a-wreck industry are $400,000 per firm.Assuming that the industry is perfectly competitive,
A)new firms will enter and the supply of the car rentals will increase.
B)new firms will enter but there will be no effect on the supply of car rentals.
C)firms will leave the industry and supply will fall.
D)the industry is in equilibrium.
Q4) Which statement is true?
A)Most firms in the United States are perfect competitors.
B)In order for perfect competition to exist there must either be many firms in the industry or all firms must make an identical product.
C)The perfect competitor never produces at the minimum point of her ATC.
D)None of the statements are true.
Q5) A perfect competitor will operate at peak efficiency only in the __________.
Page 24
To view all questions and flashcards with answers, click on the resource link above.
Chapter 22: Monopoly
Available Study Resources on Quizplus for this Chatper
233 Verified Questions
233 Flashcards
Source URL: https://quizplus.com/quiz/64469
Sample Questions
Q1) A monopoly firm is different from a perfectly competitive firm in that
A)there are many substitutes for the monopolist's product,whereas there are no close substitutes for the perfectly competitive firm's product.
B)the monopolist's demand curve is perfectly inelastic,whereas the perfectly competitive firm's demand curve is perfectly elastic.
C)the monopolist can influence price in the market,whereas the perfectly competitive firm is a price taker.
D)All of these choices are true.
Q2) An industry that realizes such large economies of scale in producing its product that single-firm production of that good or service is most efficient is called a(n)
A)fixed cost monopoly.
B)patent monopoly.
C)economies of scale monopoly.
D)natural monopoly.
Q3) Manufacturers of consumer goods pay over $_______ billion a year for shelf space to gain a competitive advantage.
Q4) One advantage of ____________ is being able to set the industry standard.
To view all questions and flashcards with answers, click on the resource link above. Page 25
Chapter 23: Monopolistic Competition
Available Study Resources on Quizplus for this Chatper
164 Verified Questions
164 Flashcards
Source URL: https://quizplus.com/quiz/64468
Sample Questions
Q1) A monopolistically competitive industry has
A)a differentiated product and barriers to exit and entry.
B)a differentiated product and ease of exit and entry.
C)identical products and barriers to exit and entry.
D)identical products and ease of exit and entry.
Q2) If this firm produced at its most efficient output level it would produce about _______ units.
A)40
B)50
C)60
D)70
Q3) In the long run,price is equal to _________________ cost for the monopolistic competitor.
Q4) You could conclude that
A)new firms will enter the industry
B)existing firms will leave the industry
C)the industry is in the long run
D)it is unclear whether the industry is in the short run or the long run
Q5) If new firms enter a monopolistically competitive industry,an individual firm's demand curve will _____________ (increase / decrease).
To view all questions and flashcards with answers, click on the resource link above. Page 26
Chapter 24: Oligopoly
Available Study Resources on Quizplus for this Chatper
186 Verified Questions
186 Flashcards
Source URL: https://quizplus.com/quiz/64467
Sample Questions
Q1) The strong interdependence of oligopolistic firms is shown by
A)their willingness to change prices frequently.
B)their reluctance to advertise.
C)their inability to form a price conspiracy.
D)the vulnerability of their sales to the actions of their rivals.
Q2) The highest Herfindahl-Hirschman index
A)is in Industry X.
B)is in Industry Y.
C)is in Industry Z.
D)cannot be determined.
Q3) The closer the industry concentration ratio is to 100,the more likely it is that
A)there are a reasonably large number of medium-sized firms.
B)this is an industry approaching perfect competition.
C)there is a small number of large firms.
D)price competition is being practiceD.
Q4) An industry with just a few sellers is a(n)__________.
Q5) When the cutthroat oligopolist lowers their prices,their competitors will ___________ theirs.
Q6) Of all the cars made in the United States,General Motors makes only ______ percent of them.
Page 27
To view all questions and flashcards with answers, click on the resource link above.
Chapter 25: Corporate Mergers and Antitrust
Available Study Resources on Quizplus for this Chatper
137 Verified Questions
137 Flashcards
Source URL: https://quizplus.com/quiz/64466
Sample Questions
Q1) In the 1980s
A)the airlines and trucking were subjected to more regulation.
B)the airlines and trucking were subjected to less regulation.
C)the airlines were subjected to more regulation and trucking to less.
D)trucking was subjected to more regulation and the airlines to less.
Q2) Which statement is true?
A)The Federal Trade Commission Act is the most important antitrust law on the books.
B)The most important antitrust legislation was passed in the last three decades.
C)The Clayton Act outlawed interlocking directorates.
D)None of these statements are true.
Q3) The conventional merger is the ____ merger.
A)horizontal
B)vertical
C)conglomerate
D)diversifying
Q4) The rule of reason originated in the __________________ case of 1920.
Q5) The 60 percent rule states that _________________________.
Q6) The two federal agencies responsible for bringing suit against anticompetitive mergers are the ___________ and the __________.
Page 28
To view all questions and flashcards with answers, click on the resource link above.
Chapter 26: Demand in the Factor Market
Available Study Resources on Quizplus for this Chatper
197 Verified Questions
197 Flashcards
Source URL: https://quizplus.com/quiz/64465
Sample Questions
Q1) A fall in the demand for the final product brings about
A)a rise in derived demand.
B)a fall in derived demand.
C)no change in derived demand.
Q2) If the wage rate were $15,how many workers would be hired?
Q3) The most important influence on a firm's demand for a factor of production is
Q4) The optimum resource mix for a firm would be
A)wage rate/rent = MRP of labor/MRP of land.
B)wage rate / rent = MRP of labor * MRP of land.
C)MRP of labor/wage rate = MRP of land/rent.
D)None of these choices are correct.
Q5) The most important influence on the marginal revenue product schedule for computer software engineers would be a change in A)their productivity.
B)a change in the price of laser printers.
C)a change in the demand for computer software.
D)a change in the quantity of capital available to produce computer software.
Q6) Fill in the above table.
Q7) How many units of capital would you hire?
To view all questions and flashcards with answers, click on the resource link above. Page 29
Chapter 27: Labor Unions
Available Study Resources on Quizplus for this Chatper
202 Verified Questions
202 Flashcards
Source URL: https://quizplus.com/quiz/64464
Sample Questions
Q1) Which statement is true?
A)Most jobs in the U.S.are exportable.
B)Once a firm and a union enter collective bargaining sessions,a collective bargaining agreement will be reached every time.
C)The ultimate weapon of management in collective bargaining is the ability to take a strike.
D)The collective bargaining agreement is confined to wages and hours.
Q2) In an open shop no one is forced to ___________.
Q3) Which statement is the most accurate?
A)Labor unions today have very little economic power.
B)Large employers today have very little economic power.
C)Every few years a strike virtually shuts down our economy.
D)Since WWII,the economy has never lost as much as one half of 1% of its work time because of strikes.
Q4) Labor unions did not become traditional or popular institutions until the A)1920s.
B)1940s.
C)1960s.
D)1980s.
Q5) The worst year for strikes in the United States was _________.
Page 30
To view all questions and flashcards with answers, click on the resource link above.
Chapter 28: Labor Markets and Wage Rates
Available Study Resources on Quizplus for this Chatper
157 Verified Questions
157 Flashcards
Source URL: https://quizplus.com/quiz/64463
Sample Questions
Q1) The marginal revenue product schedule is
A)a supply schedule.
B)a demand schedule.
C)neither a demand nor supply schedule.
Q2) If the legal minimum wage rate were set at $15/hour,
A)employment would decline substantially.
B)employment would decline slightly.
C)employment would not be affected.
D)employment would rise slightly.
E)employment would rise substantially.
Q3) If there is an increase in the nominal (money),the real wage
A)will also rise.
B)will also rise,unless the consumer price index rises.
C)will also rise,unless the consumer price index rises as much or more than the nominal (money)wage.
D)None of the choices are true.
Q4) The years from ______ to ________ marked our economy's longest decline in real wages.
Q5) The federal minimum wage rate was last raised in the year _________.
Q6) The shape of the supply curve of labor may be described as
To view all questions and flashcards with answers, click on the resource link above. Page 31
Chapter 29: Rent, interest, and Profit
Available Study Resources on Quizplus for this Chatper
189 Verified Questions
189 Flashcards
Source URL: https://quizplus.com/quiz/64462
Sample Questions
Q1) Usury laws are popular with _______.
A)the public and with economists
B)the public,but not with economists
C)economists,but not with public
D)neither the public nor with economists
Q2) Which statement is true?
A)Rent,but not the interest rate is determined by supply and demand.
B)The interest rate,but not rent,is determined by supply and demand.
C)Both rent and the interest rate are determined by supply and demand.
D)Neither rent nor the interest rate is determined by supply and demand.
Q3) Usury is considered the charging of
A)higher interest rates than people are willing to pay.
B)lower interest rates than people are willing to pay.
C)unconscionably high interest rates.
D)extremely low rates of interest.
Q4) How much money would be loaned out if there was no usury law?
Q5) ________________ said,"Property is theft!"
Q6) Usury laws could hurt borrowers with poor credit ratings by ___________________________.
Q7) The demand for land is derived from _____________.
To view all questions and flashcards with answers, click on the resource link above. Page 32
Chapter 30: Income Distribution and Poverty
Available Study Resources on Quizplus for this Chatper
285 Verified Questions
285 Flashcards
Source URL: https://quizplus.com/quiz/64461
Sample Questions
Q1) According to Kathryn Edin and Laura Lein,virtually all poor single mothers supplemented their income with money from _____________________.
Q2) The lowest two-fifths of our population receives about _______% of our total income.
A)5
B)9
C)12
D)18
E)25
Q3) The official poverty line for a family of four in 2008 was $__________.
Q4) Statement I: The poverty rate for blacks and Hispanics is almost triple that of whites. Statement II: There are no more than 250,000 homeless in the United States.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.
Q5) During the period between 1960 and 1968 the poverty rate _____.
Q6) The basic conservative solution to welfare dependency is ___________________.
Q7) What is the percentage of income received by the upper quintile on line Z?
To view all questions and flashcards with answers, click on the resource link above. Page 33
Chapter 31: International Trade
Available Study Resources on Quizplus for this Chatper
268 Verified Questions
268 Flashcards
Source URL: https://quizplus.com/quiz/64460
Sample Questions
Q1) Statement I: The U.S.protected its industries with high tariffs during most of the 19<sup>th</sup> century and during the early years of the Great Depression.
Statement II: The "Tariff of Abominations" in 1828 was abominable to the South,which was primarily an agricultural economy and did not have much industry to protect with tariffs.
A)Statement I is true and statement II is false.
B)Statement II is true and statement I is false.
C)Both statements are true.
D)Both statements are false.
Q2) The cost of an extra unit of oil in the United States in terms of coal given up is A)25.
B)50.
C)2.
D)1/2.
Q3) We currently run a negative trade balance in ______ and a ______ trade balance in services.
Q4) In 2009,the majority of the goods and services deficit was due to _______ imports.
To view all questions and flashcards with answers, click on the resource link above. Page 34
Chapter 32: International Finance
Available Study Resources on Quizplus for this Chatper
230 Verified Questions
230 Flashcards
Source URL: https://quizplus.com/quiz/64459
Sample Questions
Q1) If 40 rupees = $1,then one rupee = ____________.
Q2) When the Swiss franc appreciates relative to the dollar
A)it becomes less expensive in terms of the dollar.
B)it takes fewer dollars to buy a Swiss franc.
C)it takes more dollars to buy a Swiss franC.
D)None of the choices is true.
Q3) The Federal Reserve has estimated that over ______ of all the U.S.currency being printed ends up being used as unofficial legal tender abroad.
A)one-fourth
B)one-third
C)one-half
D)two-thirds
Q4) In 2009,the gap between foreign assets in the United States and U.S.assets abroad was
A)$3 trillion.
B)$2.5 trillion.
C)$4 trillion.
D)$6.5 trillion.
Q5) Under the gold standard,balance of trade deficits (or surpluses)were _________.
Page 35
Q6) In 2009,we ran a capital account surplus of $___________ billion.
To view all questions and flashcards with answers, click on the resource link above.