Social Sciences Foundations
Exam Questions
Course Introduction
Social Sciences Foundations provides students with an introduction to the key concepts, methods, and disciplines within the social sciences, including sociology, psychology, anthropology, economics, and political science. The course explores how individuals and groups interact, how societies are structured and governed, and the ways in which culture, power, and economic forces shape human behavior. Emphasis is placed on critical thinking, ethical considerations, and the application of social science perspectives to contemporary issues, preparing students for further study and informed participation in a globalized world.
Recommended Textbook
Foundations of Economics 6th Edition by Robin Bade
Available Study Resources on Quizplus
20 Chapters
5153 Verified Questions
5153 Flashcards
Source URL: https://quizplus.com/study-set/1287
Page 2
Chapter 1: Getting Started
Available Study Resources on Quizplus for this Chatper
337 Verified Questions
337 Flashcards
Source URL: https://quizplus.com/quiz/25572
Sample Questions
Q1) You have chosen to take a trip during spring break.If you had not gone,you would either have worked at a temporary job or studied for exams.The opportunity cost of your trip is
A) the wages you would have earned from working.
B) the lower grade earned by not studying.
C) the wages you would have earned from working and the lower grade earned by not studying.
D) the value of the trip.
E) We cannot determine what the opportunity cost is without knowing which alternative, working or studying, you would have preferred.
Answer: E
Q2) Pumpkins are grown in New Mexico with the aid of fertilizer.Hence,fertilizer is a partial answer to which of the three economic question?
Answer: Fertilizer is used to help produce the pumpkins,so it is a partial answer to the "How are goods and services produced?" question.
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: The Usand Global Economies
Available Study Resources on Quizplus for this Chatper
201 Verified Questions
201 Flashcards
Source URL: https://quizplus.com/quiz/25573
Sample Questions
Q1) In the figure above,which of the following represents a money flow?
A) Goods purchased
B) Interest
C) Capital
D) Services sold
E) Goods supplied
Answer: B
Q2) An example of a money flow in the circular flow diagram is
A) a student's payment of tuition to her university.
B) the government's operation of the court system.
C) the government's financing of the national debt.
D) a firm's production of goods to sell to a foreign country.
E) a farmer's use of land to grow wheat.
Answer: A
Q3) What are the payments each factor of production receives?
Answer: Rent is paid for the use of land.Wages are paid for the services of labor.Interest is paid for the use of productive capital.Entrepreneurs earn a profit.
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: The Economic Problem
Available Study Resources on Quizplus for this Chatper
273 Verified Questions
273 Flashcards
Source URL: https://quizplus.com/quiz/25574
Sample Questions
Q1) Production efficiency is represented by ________ a production possibilities frontier.
A) all points on
B) all points inside
C) all points outside
D) a movement along
E) only one point on
Answer: A
Q2) If an economy cannot produce more of one good without producing less of another good,this implies that which of the following has been achieved?
A) allocative efficiency
B) minimum marginal cost
C) PPF efficiency
D) production efficiency
E) maximum marginal benefit
Answer: D
Q3) How is economic growth shown in a production possibilities frontier graph?
Answer: Economic growth is illustrated as an outward shift of the PPF.
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 4: Demand and Supply
Available Study Resources on Quizplus for this Chatper
322 Verified Questions
322 Flashcards
Source URL: https://quizplus.com/quiz/25575
Sample Questions
Q1) Suppose that tattoos gained immense popularity with retired people as well as college students.This gain in popularity best reflects which of the following influences on buying plans?
A) the price of a substitute good
B) income
C) expectations
D) preferences
E) the price of a complement good
Q2) For consumers,computers are a complement to computer software.Suppose the price of a computer falls.Simultaneously,suppose that the number of companies selling computer software decreases.How do these changes affect the price and quantity of computer software?
Q3) It is expected that the price of a bushel of wheat will increase in one month.This belief will result in
A) an increase in the current supply of wheat.
B) a decrease in the current supply of wheat.
C) a decrease in the future supply of wheat.
D) no change in the current or future supply of wheat.
E) an increase in the current quantity supplied of wheat.
Q4) In the figure above,what is the equilibrium price and quantity?
Page 6
To view all questions and flashcards with answers, click on the resource link above.
Chapter 5: Elasticities of Demand and Supply
Available Study Resources on Quizplus for this Chatper
335 Verified Questions
335 Flashcards
Source URL: https://quizplus.com/quiz/25576
Sample Questions
Q1) If income increases from $50,000 to $60,000 while the demand for a good increases from 100 units to 125 units,what is the income elasticity of demand? Is the good a normal good or an inferior good?
Q2) If a product is a normal good,then its income elasticity of demand is A) zero.
B) positive.
C) negative.
D) indeterminate.
E) greater than 1.
Q3) What is the price elasticity of supply? List and briefly define three cases of the price elasticity of supply.
Q4) If demand is inelastic and the price falls,the total revenue A) rises.
B) falls.
C) remains constant.
D) might rise, fall, or remain constant.
E) becomes negative.
Q5) Explain the total revenue test.
Q6) What effect does a price hike have on the total revenue of the producers?
To view all questions and flashcards with answers, click on the resource link above. Page 7
Q7) Water is considered a necessity.So,is the demand for water elastic or inelastic?
Chapter 6: Efficiency and Fairness of Markets
Available Study Resources on Quizplus for this Chatper
352 Verified Questions
352 Flashcards
Source URL: https://quizplus.com/quiz/25577
Sample Questions
Q1) The figure above shows the market for pizza.
a.If the price of a slice of pizza is $3,what is the consumer surplus of the 50th slice?
b.If the price of a slice of pizza is $3,what is the producer surplus of the 50th slice
c.What is the efficient quantity? What is the equilibrium quantity? What is the deadweight loss when the equilibrium quantity is produced?
Q2) The marginal benefit of each additional unit of a good consumed
A) increases as more is consumed.
B) is always equal to its marginal cost.
C) decreases as more is consumed.
D) will maximize consumer surplus.
E) is equal to the deadweight loss if the unit of the good is not produced.
Q3) According to the "fair rules" view of fairness,are taxes fair? Explain.
Q4) To achieve ________,marginal cost ________ marginal benefit.
A) production efficiency; must equal
B) production efficiency; must be greater than C) allocative efficiency; must be greater than D) allocation efficiency; must be less than E) allocative efficiency; must equal
To view all questions and flashcards with answers, click on the resource link above.
Page 8
Chapter 7: Government Actions in Markets
Available Study Resources on Quizplus for this Chatper
239 Verified Questions
239 Flashcards
Source URL: https://quizplus.com/quiz/25578
Sample Questions
Q1) The figure above shows that to make the price support work,the government buys ________ million tons of sugar beets.
A) 10
B) 20
C) 30
D) 5
E) 15
Q2) The deadweight loss in a housing market with a rent ceiling set below the equilibrium rent is the
A) loss to those who cannot find apartments and the gain to landlords who charge black market rents.
B) loss to those who cannot find apartments and the loss to landlords who cannot offer housing at the lower rent ceiling.
C) loss to landlords and the gain to tenants who pay a fairer rent.
D) loss to tenants and the gain to landlords who have the incentive to offer more apartments for rent.
E) gain to landlords and to tenants because now a fairer rent is charged.
Q3) What is a price support program in an agricultural market? Explain its impact on a market.
To view all questions and flashcards with answers, click on the resource link above.
Page 9
Chapter 8: Taxes
Available Study Resources on Quizplus for this Chatper
267 Verified Questions
267 Flashcards
Source URL: https://quizplus.com/quiz/25579
Sample Questions
Q1) After the tax is imposed,the price received by the seller is ________ per MP3 player.
A) $105
B) $100
C) $95
D) $110
E) $90
Q2) The above figure shows the market for capital.With the tax on capital income,the interest rate is ________ and firms use ________ million of capital.
A) 2 percent; $2,000
B) 3 percent; $2000
C) 6 percent; $1,000
D) 4 percent; $1,000
E) 2 percent; $1,000
Q3) Sellers bear the entire incidence of a tax on a good.This outcome can occur if A) supply is perfectly inelastic.
B) the good is an inferior good.
C) demand is perfectly inelastic.
D) the demand curve is downward sloping and the supply curve is upward sloping.
E) supply is perfectly elastic.
To view all questions and flashcards with answers, click on the resource link above.
Page 10
Chapter 9: Global Markets in Action
Available Study Resources on Quizplus for this Chatper
276 Verified Questions
276 Flashcards
Source URL: https://quizplus.com/quiz/25580
Sample Questions
Q1) When a nation imports a good,its ________ surplus decreases and its ________ surplus increases.
A) consumer; producer
B) consumer; consumer
C) producer; producer
D) producer; consumer
E) total; consumer
Q2) If the United States imposes a tariff on a good,then
A) domestic consumption of the good decreases.
B) foreign consumption of the good decreases.
C) foreign production of the good increases.
D) domestic production of the good decreases.
E) the government makes less revenue than it would have gained if it imposed a quota.
Q3) Of the following,who gains with a quota?
A) domestic buyers of the good or service
B) the importer of the good or service
C) the foreign exporter of the good or service
D) the government of the importing nation
E) the government of the exporting nation
To view all questions and flashcards with answers, click on the resource link above.
Page 11
Chapter 10: Externalities
Available Study Resources on Quizplus for this Chatper
300 Verified Questions
300 Flashcards
Source URL: https://quizplus.com/quiz/25581
Sample Questions
Q1) When a forest is logged,it is possible for the logging to create "soil runoff," a situation in which the soil,no longer protected by trees,erodes and silts a river miles downstream from the logging area.Is soil runoff created by logging in Montana that ruins a river an example of a private cost to the lumbering company or an external cost?
Q2) Describe some of the external benefits associated with education.What can government do to encourage production of the efficient amount of education?
Q3) If all education in the United States were provided by private,tuition-charging schools,
A) too much education would be consumed.
B) too little education would be consumed.
C) the efficient level of education would be provided.
D) the government would provide both students and schools with vouchers.
E) education would no longer have an external benefit.
Q4) Why does an external cost lead to inefficient overproduction?
Q5) Discuss the difference between a private cost and a social cost.
Q6) Does inoculation against chicken pox have both private and external benefits?
Q7) "External benefits lead to overproduction so that more than the efficient quantity is produced." Is the previous statement true or false?
Page 12
To view all questions and flashcards with answers, click on the resource link above.
Chapter 11: Public Goods and Common Resources
Available Study Resources on Quizplus for this Chatper
177 Verified Questions
177 Flashcards
Source URL: https://quizplus.com/quiz/25582
Sample Questions
Q1) A good is rival if
A) it has substitutes.
B) it can be consumed by many people simultaneously.
C) it is excludable.
D) consumption by one person decreases the quantity available for another person. E) it has no complements.
Q2) A few years back,The Wall Street Journal reported that the government of Thailand "plans to launch a chain of more than 3,000 Thai restaurants world-wide over the next five years,with the largest number,more than 1,000,slated for the United States." The Thai government will have a 30 percent minority stake in the restaurants and the rest will be given to Thai owners.The country's deputy commerce minister explains that the government will play an active role in drawing up menus,making sure that genuine Thai food is served and ensuring that 70 percent of supplies for the restaurants are imported from Thailand.Because the Thai government will be part owner of these restaurants,are these restaurants public goods?
Q3) What is the free-rider problem? What results from the free-rider problem? What is a solution to the free-rider problem?
Q4) What is the tragedy of the commons?
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Markets With Private Information
Available Study Resources on Quizplus for this Chatper
101 Verified Questions
101 Flashcards
Source URL: https://quizplus.com/quiz/25583
Sample Questions
Q1) JCPenney guarantees to refund a customer's money if the customer returns poorly made clothing.This guarantee is an example of
A) the adverse selection. problem.
B) the moral hazard problem.
C) the cost of risk.
D) signaling.
E) a lemon problem.
Q2) A safe drive is likely to prefer an auto insurance policy that has a ________ deductible and a ________ premium.
A) high; high
B) high; low
C) low; high
D) low; low
E) None of the above answers are correct because private information has no effect in the market for auto insurance.
Q3) Most college professors are granted tenure after six years of employment.Tenure implies a lifetime appointment.What problem does this situation create,and how can colleges minimize the problem?
Q4) What role does moral hazard play in the market for health care?
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: Consumer Choice and Demand
Available Study Resources on Quizplus for this Chatper
287 Verified Questions
287 Flashcards
Source URL: https://quizplus.com/quiz/25584
Sample Questions
Q1) Diminishing marginal utility means that
A) marginal utility decreases as consumption decreases.
B) marginal utility increases as consumption increases.
C) marginal utility decreases as consumption increases.
D) total utility decreases as marginal utility decreases.
E) total utility decreases as marginal utility increases.
Q2) The figure above shows Sarah's budget line.Sarah earns $500 per week selling baskets made out of tree vines.With this money she buys sushi and rose bushes.Each piece of sushi costs $1 and each rose bush costs $10.Sarah will be at what point on her budget line if she spends $200 per week on sushi?
A) Point a
B) Point b
C) Point c
D) Point f
E) Point d
Q3) "As Mike consumes more dates over the course of a day,it is likely that his marginal rate of substitution of dates for other goods will rise." Is the previous statement correct or incorrect?
Q4) What is "marginal utility?"
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 14: Production and Cost
Available Study Resources on Quizplus for this Chatper
266 Verified Questions
266 Flashcards
Source URL: https://quizplus.com/quiz/25585
Sample Questions
Q1) April quit her job as an accountant at Ernst and Young,where she was paid $45,000 per year.She started her own landscaping business.She rents machines and tools for $50,000 and pays $10,000 as wages to her help.These are her only costs.April earned total revenue of $100,000.
A) Her accountant calculates her profit as $40,000.
B) She has an economic loss.
C) Her explicit cost is $105,000.
D) Both answers A and B are correct.
E) Both answers A and C are correct.
Q2) To produce 10 shirts,the total cost is $80; to produce 11 shirts,the total cost is $99.The marginal cost of the 11th shirt is equal to
A) $8.
B) $9.
C) $80.
D) $99.
E) $19.
Q3) "In the short run,even when output is zero,the firm still has some variable costs it must pay." Is the statement correct or incorrect? Briefly explain your answer.
To view all questions and flashcards with answers, click on the resource link above.
Page 16
Chapter 15: Perfect Competition
Available Study Resources on Quizplus for this Chatper
275 Verified Questions
275 Flashcards
Source URL: https://quizplus.com/quiz/25586
Sample Questions
Q1) A permanent decrease in demand definitely
A) shifts a firm's average total cost curve downward.
B) creates diseconomies for individual firms.
C) lowers the market price.
D) decreases the number of firms in the industry.
E) shifts a firm's average total cost curve upward.
Q2) If the market price of a product is $14 and all sellers are price takers,then which of the following is correct?
A) Each seller's total revenue line is graphed as an upward-sloping straight line.
B) The demand curve for each seller's product is a downward-sloping straight line.
C) Each seller can earn more total revenue by raising the price he or she charges above $14.
D) The demand curve for each seller's product is a downward-sloping but not necessarily a straight line.
E) Each seller's total revenue is graphed as an upside-down U-shaped curve.
Q3) In the long run,a perfectly competitive firm makes zero economic profit.What incentive does the firm have to stay in business if it is making zero economic profit?
To view all questions and flashcards with answers, click on the resource link above.
Page 17
Chapter 16: Monopoly
Available Study Resources on Quizplus for this Chatper
377 Verified Questions
377 Flashcards
Source URL: https://quizplus.com/quiz/25587
Sample Questions
Q1) A single-price monopoly has marginal revenue and marginal cost equal to $19 at 15 units of output where the price on the demand curve is $38.At this output,average total cost is $15.What is the total profit earned?
A) $225
B) $285
C) $345
D) $570
E) $19
Q2) If a natural monopoly is told to set price equal to average cost,then the firm
A) is not able to set marginal revenue equal to marginal cost.
B) automatically also sets price equal to marginal cost.
C) will make a substantial economic profit.
D) will incur an economic loss.
E) sets a price that is lower than its marginal cost.
Q3) Natural barriers to entry arise when,over the relevant range of output,there
A) are diseconomies of scale.
B) are constant returns to scale.
C) are several firms who produce at the lowest average cost.
D) are economies of scale.
E) is one firm that owns a key natural resource.
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 17: Monopolistic Competition
Available Study Resources on Quizplus for this Chatper
213 Verified Questions
213 Flashcards
Source URL: https://quizplus.com/quiz/25588
Sample Questions
Q1) What do demand and marginal revenue curves look like in monopolistic competition? How do they compare to the demand and marginal revenue curves in perfect competition and monopoly?
Q2) The decision to innovate
A) depends on the marketing department's needs.
B) depends on whether the firm wants to benefit its customers.
C) is based on the marginal cost and the marginal revenue of innovation.
D) is unnecessary in a monopolistically competitive market.
E) None of the above answers is correct.
Q3) A firm in monopolistic competition makes its decisions on quantity and price by
A) taking price as given from the market and producing where MR = MC.
B) taking both price and quantity as given from the market.
C) producing where MR = MC and setting the price for this quantity from the demand curve.
D) taking quantity as given from the market and setting the price for this quantity from the demand curve.
E) producing where MR = MC and setting the price so that P = MR = MC.
Q4) What is the Herfindahl-Hirschman Index and what does it measure?
Q5) Explain how selling costs in monopolistic competition affect the efficiency of monopolistic competition.
To view all questions and flashcards with answers, click on the resource link above. Page 19
Chapter 18: Oligopoly
Available Study Resources on Quizplus for this Chatper
222 Verified Questions
222 Flashcards
Source URL: https://quizplus.com/quiz/25589
Sample Questions
Q1) If a firm engages in predatory pricing,it
A) is following marginal cost pricing.
B) is following average cost pricing.
C) sets a low price to drive rivals out of business.
D) has been regulated using a price cap.
E) is guilty of price fixing.
Q2) Which of the following is always illegal?
A) possessing a very large market share
B) selling at a price below other producers because of efficiency
C) price fixing
D) attempting to merge with a competitor
E) price discrimination
Q3) A Nash equilibrium is defined as
A) making zero economic profit in the long run.
B) forming a cartel with strong penalties for cheaters.
C) relying on other game players to realize the benefit of cooperation.
D) each player taking the best possible action given the action of the other player.
E) each player taking the action that is best for all the players.
Q4) What is game theory and what light does it shed on the duopolists' dilemma?
To view all questions and flashcards with answers, click on the resource link above. Page 20
Chapter 19: Markets for Factors of Production
Available Study Resources on Quizplus for this Chatper
178 Verified Questions
178 Flashcards
Source URL: https://quizplus.com/quiz/25590
Sample Questions
Q1) Suppose in Chicago,at the going wage rate of $16.00 an hour,the quantity of lifeguards demanded exceeds the quantity supplied by 13,000 lifeguards.As a result,
A) there is a surplus of lifeguards in Chicago.
B) there is a shortage of lifeguards in Chicago.
C) the lifeguard labor market is in equilibrium in Chicago.
D) wage rates will probably fall in this market.
E) the demand for labor of lifeguards in Chicago will decrease.
Q2) The wage paid to labor is
A) a factor output.
B) a factor price.
C) a factor input.
D) an input of the workforce.
E) part of the firm's normal profit.
Q3) The four factors of production that produce goods and services are
A) labor, money, machinery, and land.
B) labor, capital, money, and entrepreneurship.
C) labor, capital, land, and entrepreneurship.
D) labor, investment capital, machinery, and land.
E) labor, stocks, money, and bonds.
Q4) Why is the demand for labor a "derived demand"?
Page 21
To view all questions and flashcards with answers, click on the resource link above.
Chapter 20: Economic Inequality
Available Study Resources on Quizplus for this Chatper
155 Verified Questions
155 Flashcards
Source URL: https://quizplus.com/quiz/25591
Sample Questions
Q1) Based on the figure above,
A) the average household's income exceeds its wealth.
B) the average household's wealth exceeds its income.
C) income is distributed more equally than wealth.
D) wealth is distributed more equally than income.
E) Both answers A and C are correct.
Q2) In the United States in 2004,the wealthiest 1 percent of households held approximately ________ percent of all wealth.
A) 1
B) 13
C) 27
D) 34
E) 88
Q3) The higher the cost of acquiring skills,the ________ are the high-skilled and low-skilled labor ________ curves.
A) closer together; demand
B) farther apart; demand
C) closer together; supply
D) farther apart; supply
Q4) What is a Lorenz curve?
Page 22
To view all questions and flashcards with answers, click on the resource link above.