Show
Recommended textbook solutions
 Statistics for Business and Economics13th EditionDavid R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams 1,692 solutions
Fundamentals of Engineering Economic Analysis1st EditionDavid Besanko, Mark Shanley, Scott Schaefer 215 solutions
Principles of Economics8th EditionN. Gregory Mankiw 1,335 solutions Statistics for Business and Economics13th EditionDavid R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams 1,692 solutions Recommended textbook solutions
Fundamentals of Engineering Economic Analysis1st EditionDavid Besanko, Mark Shanley, Scott Schaefer 215 solutions
Introductory Business Statistics1st EditionAlexander Holmes, Barbara Illowsky, Susan Dean 2,174 solutions Principles of Economics7th EditionN. Gregory Mankiw 1,394 solutions Statistics for Business and Economics13th EditionDavid R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams 1,692 solutions Recommended textbook solutionsPrinciples of Economics8th EditionN. Gregory Mankiw 1,335 solutions Introductory Business Statistics1st EditionAlexander Holmes, Barbara Illowsky, Susan Dean 2,174 solutions
Statistical Techniques in Business and Economics15th EditionDouglas A. Lind, Samuel A. Wathen, William G. Marchal 1,236 solutions
Century 21 Accounting: General Journal11th EditionClaudia Bienias Gilbertson, Debra Gentene, Mark W Lehman 1,012 solutions Opportunity cost is A.The total dollar cost to society of producing the goods. B.The difficulty associated with using one good in place of another. C.What is given up in order to get something else. D.Measured only in dollars and cents. C. According to the law of increasing opportunity costs, A. Greater production of one good requires increasingly larger sacrifices of other goods. B. Greater production means factor prices rise. C. Higher opportunity costs induce higher output per unit of input. D. Greater production leads to greater inefficiency. A. A mixed economy A. Is justified by the superiority of laissez faire over government intervention. B. Is one that allows trade with other countries. C. Utilizes both market and nonmarket signals to allocate goods and services. D. Relies on the use of central planning by private firms rather than the government. C. The opportunity cost of studying for an economics test is A. The money you spent on tuition for the class. B. Zero because you knew when you registered for the class that studying would be required. C. The activity that is best alternative use of your time. D. Negative because it may improve your grade. C. Capital, as economists use the term, refers to A. The costs of operating a business. B. The cash needed to start a new business. C. Final goods that are used to produce other goods and services. D. Shares of stock issued by businesses. C. In using a guns and butter production possibilities curve with increasing opportunity cost, producing more and more tanks A. Requires us to give up larger and larger amounts of butter per tank produced. B. Lowers the cost of each individual tank. C. Is not possible due to scarcity. D. Can be done at a constant opportunity cost. A. A technological advance would best be represented by A. A shift inward of the production possibilities curve. B. A shift outward of the production possibilities curve. C. A movement from inside the production possibilities curve to a point on the production possibilities curve. D. A movement from the production possibilities curve to a point inside the production possibilities curve. B. The United States has roughly how much of the world's population? A. 5 percent. A. The 'WHAT goods and services does the US produce' question can best be answered using data about which of the following? A. The distribution of output in markets, specifically among manufacturing, services, and agricultural sectors. B. Per capita GDP. C. Productivity. D. The distribution of GDP among different income quintiles. A. When the government provides a legal framework, A. Private market transactions suffer and government market transactions suffer. B. Private market transactions suffer and government market transactions benefit. C. Private market transactions benefit and government market transactions benefit. D. None of the choices are correct.
C. The government regulates monopolies in order to A. Ensure that product quality meets minimum standards, such as testing of new drugs. B. Prohibit mergers or acquisitions that would lessen competition. C. Protect consumers from false advertising. D. All of the choices are correct. D. Which of the following definitely means productivity has increased? A. More output from fewer workers. B. Less output from fewer workers. C. More output from more workers. D. Less output from more workers. A. Which of the following statements about the way markets allocate resources is most accurate from society's perspective? A. The market always allocates resources in the best way. B. The market may not always allocate resources in a way that is in society's best interest. C. Resource allocation by markets may not be perfect, but it is always better than government allocation of resources. D. Markets always fail to allocate resources properly, so we must rely on the government to determine the proper use of our resources. B. The bottom 80 percent of the families in the United States receive approximately ______ percent of total income. A. 10 C. When compared to the average household in most low-income countries, poor people in the United States receive A. About the same amount of goods and services. B. Somewhat fewer goods and services. C. Far fewer goods and services. D. Far more goods and services. D. The GDP of the United States includes production by foreign-owned firms that are located in the United States. TRUE T Monopolists can dictate the price or the quantity of the product they produce, but not both. True T As a country's human capital capacity increases, we observe that the relative number of A. Capital-intensive production processes increases. B. Sector service jobs decreases. C. None of the choices are correct. D. Labor-intensive production processes increases. A. The government establishes the rules of the game for economic transactions in order to A. Legitimatize and enforce contracts. B. Discourage the ownership of property. C. Discourage the production of capital. D. Encourage spillover costs. A. The bottom 80 percent of the families in the United States receive approximately ______ percent of total income. A. 50 A. Productivity is a measure of A. Output per dollar of input. B. Input per dollar of output. C. Input per unit of output. D. Output per unit of input. D. Which of the following would be a legitimate government activity in the U.S. economy? A. The enactment of antitrust laws to protect consumers. B. All of the choices are correct. C. Enforcing child labor laws. D. The regulation of water pollution. B. Human capital is defined as the A. Dollar value of all the stocks and bonds an individual owns. B. None of the choices are correct. C. Amount of machinery, factories, and buildings an individual owns. D. Knowledge and skills workers possess. D. The term externalities refers to A. The impact on markets of imported goods. B. The costs or benefits of a market activity borne by a third party. C. The inequitable distribution of income. D. Black-market economic activity. B. As a nation's average education level increases, the nation's level of productivity A. Increases, and the nation moves to a new point on the same production possibilities curve. B. Increases, and the production possibilities curve shifts to the right. C. Decreases, and the nation's production possibilities curve shifts to the left. D. Decreases, and the nation moves to a new point on the same production possibilities curve. B. Which of the following statements is true concerning income inequality? A. Income is equally distributed in poor countries. B. The free market produces an unequal distribution of income. C. The government has no way to alter income inequality. D. Developed countries have greater income inequality than developing countries. B. As the U.S. economy relies more and more heavily on the production of services rather than goods, A. GDP will decrease since there will be less real production. B. Mass unemployment will result. C. International trade will become more difficult. D. Nearly all future job growth will be in service-producing industries. D. Business firms supply goods and services to ____ and purchase factors of production in ____. A. factor markets; product markets B. national markets; factor markets C. product markets; factor markets D. factor markets; national markets C. If bagels and doughnuts are substitutes, then a decrease in the price of doughnuts will result in A. An increase in the demand for doughnuts. B. A decrease in the demand for doughnuts. C. An increase in the demand for bagels. D. A decrease in the demand for bagels. D. If there are only two airlines that fly between Dallas and New Orleans, what will happen in the market for one airline if the other one goes out of business? A. The demand curve will shift to the right. B. The demand curve will shift to the left. C. There will be a movement to the right along the initial demand curve. D. There will be a movement to the left along the initial demand curve. A. Which of the following is a determinant of supply? A. Consumer tastes or preferences. B. The prices of the factors of production. C. Income. D. Number of buyers. B. A change in the price of a good A. Causes a shift in the supply curve. B. Results in a change in quantity supplied. C. Results in a change in supply. D. Is a determinant of supply. B. Which of the following can change without shifting demand, ceteris paribus? A. The price of the good itself. A. Tickets to a sporting event go on sale and sell out almost instantly. This suggests that A. There are too many tickets to the event. B. The price for the tickets is below the equilibrium price. C. The tickets must be very expensive. D. There is a surplus of tickets. B. A rightward shift in a demand curve and a rightward shift in a supply curve both result in a A. Lower equilibrium price. D. The basic goals of total utility maximization, total profit maximization, and total welfare maximization explain most market activity. TRUE T Governments usually build highways because it is difficult to exclude individuals who don't pay for the highways from using them. What type of market failure is involved? A. Inequity. B. Using Figure 4.2, suppose point C represents the optimal mix of public and private goods for a society. The market mechanism is likely to result in a mix of output represented by point A. F because the market mechanism is inefficient. D. Which of the following justifies the federal government's role in antitrust enforcement? A. Inequity. C. The federal government's role in providing aid to the poor and the aged is justified because of concerns about A. Market power. B. Which of the following is an example of a progressive tax? A. Social Security payroll tax. C. In real terms, the cost of government spending is measured by A. Combining the private sector output with the public sector output sacrificed when the
government employs scarce resources. C. Which of the following occurs if government intervention forces the economy inside the production possibilities curve? A. Market failure. B. The theory of public choice A. Examines why the public rejects so many bond referendums. B. Market power may result from all of the following except A. Patents and copyrights. Public goods are any goods provided by units of local, state, or federal governments. TRUE F Ceteris paribus, which of the following is most likely to cause an increase in the quantity supplied of perfume? A. An improvement in perfume-making technology. D. A shift in supply is defined as a change in C. If the price of "X" increases and you buy more "Y," then A. "X" and "Y" are substitutes, and the price of "Y" will decrease. B. "X" and "Y" are complements, and the price of "Y" will increase. C. "X" and "Y" are substitutes, and the price of "Y" will increase. D. "X" and "Y" are complements, and the price of "Y" will decrease. C. Price ceilings are intended to address the problem of A. Inequity in the distribution of goods and services. A. Assume milk is used to produce ice cream. Ceteris paribus, a decrease in the price of milk will cause the equilibrium price of ice cream to A. Decrease and the equilibrium quantity of ice cream to increase. B. Increase and the equilibrium quantity of ice cream to increase. C. Decrease and the equilibrium quantity of ice cream to decrease. D. Increase and the equilibrium quantity of ice cream to decrease. A. According to the law of demand, during a given period of time, the quantity of a good demanded A. Increases as its price falls, ceteris paribus. A. A change in the price of a good A. Results in a change in quantity supplied. B. Causes a shift in the supply curve. C. Results in a change in supply. D. Is a determinant of supply. A. If there are only two airlines that fly between Dallas and New Orleans, what will happen in the market for one airline if the other one goes out of business? A. The demand curve will shift to the right. A. The goal of the consumer in a market economy is to use his or her limited income to buy A. The greatest number of goods and services possible. C. If a nation has GDP of $12,500 billion and GDP per capita of $62,500, what is the nation's population? B. Suppose a friend claims he is helping the economy by throwing trash on the street rather than in trash cans because the extra expenditures necessary to clean up the streets will increase GDP. Your friend is A. Wrong. GDP will not be affected because nothing new is being produced. B. Which of the following would not be included in the calculation of GDP? D. Which of the following is not a final good or service? B. The purpose of chain-weighted price adjustments in the calculation of GDP is to A. Adjust for changes in relative prices. A. A nation's capital stock will decline, ceteris paribus, for all of the following reasons except A. The population increases faster than the capital stock. A. Disposable income is A. The amount of available income
households have to either spend or save. A. To measure an economy's output adjusted for changes in the price level, one would use A. GDP per capita. C. A public good A. Is overproduced by the market. C. When voting mechanisms substitute for the market mechanism in allocating resources, we are relying on A. Public choice theory. C. Governments usually build highways because it is difficult to exclude individuals who don't pay for the highways from using them. What type of market failure is involved? A. Public goods. A. The largest single source of revenue for the federal government is A. Corporate income taxes. B. Government intervention in the market A. Results in the free-rider dilemma. D. The primary function of taxes is to A. Correct inequities in the distribution of goods and services. C. Which of the following is the best description of the U.S. tax system? A. The federal income tax is regressive, but sales, property, and other taxes tend to be progressive. B. The U.S. tax system is consistently progressive. C. The U.S. tax system is consistently regressive. D. The federal income tax is progressive, but sales, property, and other taxes tend to be regressive. D. If Good X has social demand that is less than market demand, then Good X must be a A. Good suffering from the free-rider problem. B. Market failure implies that the market mechanism A. Causes government failure. B. When external costs result from the production of a good, A. Both producers and consumers have an incentive to produce and consume too much. B. Producers have an incentive to produce too little. C. Producers and consumers are not affected. D. Consumers have an incentive to consume too little. A. Jack graduated from college last month, but he has not yet started looking for a job. Jack is A. Frictionally unemployed. D. When the economy is below full employment, it is producing A. On the production possibilities curve. C. The observation that a 1 percent increase in unemployment leads to a 2 percent decrease in real output is known as A. A recession. C. Those that work part-time and do not desire full-time employment are referred to as A. Employed. A. Which of the following groups could increase in size and cause a significantly higher unemployment rate? A. Discouraged workers. C. What is the likely consequence of an unemployment rate falling below the rate at which "full employment" is achieved? A. The threat of recession. B. The natural rate of unemployment includes A. Seasonal and cyclical unemployment only C. Structural and seasonal unemployment only. D. Frictional and structural unemployment only. D. Unemployment was fairly low during A. The Great Depression. B. Most of the costs of unemployment can be measured in financial terms. True F GDP can be calculated by all of the following methods except A. Adding up all of the receipts of households, government, and business. C. Net domestic product is A. The market value of all final goods and services produced in the economy after adjusting for depreciation. A. Which of the following types of government spending is included in the calculation of GDP? A. Federal, state, and local spending on transfer payments only. D. Net exports are A. The value of exports minus the value of imports. A. Disposable income is A. The amount households have left
to spend after savings are subtracted. B. If depreciation exceeds gross investment, A. The nation's capital stock is being depleted. A. The purpose of chain-weighted price adjustments in the calculation of GDP is to A. Adjust for changes in relative prices. A. Which of the following would not be included in the calculation of GDP? A. Income earned by a CPA. C. Which of the following is directly included in the calculation of GDP? A. The sales of sand to a glassmaker. B. Jack graduated from college last month, but he has not yet started looking for a job. Jack is A. Not part of the labor force and is not counted in the unemployment rate. A. Long-term changes in demand that make some goods obsolete (possibly due to technological advancement) are likely to have their greatest impact on A. Cyclical unemployment. B. An underemployed worker who is looking for a full-time job is A.
Structurally unemployed. C. If workers do not have the skills that are required in the job market, which of the following will occur? A. Structural unemployment. A. Unemployment was fairly low during all of the following periods except A. The late 1990s. C. Which of the following was a stated goal of the Humphrey-Hawkins Act? A. Zero percent unemployment rate. B. Outsourcing is the A. Movement of workers to foreign countries where there are more jobs. D. Which of the following government programs would be most appropriate to counteract cyclical unemployment? A. Greater government expenditures to increase GDP. A. The labor force participation rate is the number A. Of employed divided by the number in the labor force. B. Why does the government intervene in the economy quizlet?Why do governments intervene in markets? When acting for economic reasons, governments intervene in markets in an attempt to rectify market failure. If they can improve the allocation of resources then they will improve society's welfare which is the main objective of the government.
Which of the following occurs of government intervention forces the economy inside the production possibilities curve?Which of the following occurs if government intervention forces the economy inside the production possibilities curve? Answers: Market failure.
How government intervenes in the economy?Taxes, subsidies, price controls, regulations, minimum wage legislation, and government bailouts are all examples of different kinds of government intervention in the economy. The government may intervene to prevent a monopoly, to boost a struggling economy, or when poverty is worsening.
Which of the following is a form of government intervention designed to correct market failures?Market failures can be corrected through government intervention, such as new laws or taxes, tariffs, subsidies, and trade restrictions.
|
Which of the following justifies government intervention in the economy quizlet?
zusammenhängende Posts
Urheberrechte © © 2024 membukakan Inc.
