ECON 312 Week 4 Midterm (Version 3)
1. (TCO 1) As a student of economics, when you speak of scarcity, you are referring to the ability of society to
2. (TCO 1) The idea in economics that "there is no free lunch" means that
3. (TCO 1) (TCO 1) The law of increasing opportunity costs indicates that
4. (TCO 1) A tradeoff exists between two economic goals, X and Y. This tradeoff means that
5. (TCO 1) Which would not be considered as a capital resource of a business by an economist?
6. (TCO 1) The economy of Germany would best be classified as:
7. (TCO 1) Markets in which firms sell their output of goods and services are called
8. (TCO 1) Laissez-faire capitalism is characterized by
9. (TCO 1) Which is not one of the five fundamental questions that an economy must deal with?
10. (TCO 1) The major "success indicator" for business managers in command economies like the Soviet Union and China in the past was
11. (TCO 2) An increase in demand means that
12. (TCO 2) At the point where the demand and supply curves intersect
13. (TCO 2) Black markets are associated with
14. (TCO 2) A headline reads "Lumber Prices Up Sharply." In a competitive market, this situation would lead to a(n)
15. (TCO 2) For most products, purchases tend to fall with decreases in buyers' incomes. Such products are known as
16. (TCO 2) When the price of a product is increased 10 percent, the quantity demanded decreases 15 percent. In this range of prices, demand for this product is
17. (TCO 2) Total revenue falls as the price of a good is raised, if the demand for the good is
18. (TCO 2) The demand for Cheerios cereal is more price-elastic than the demand for cereals as a whole. This is best explained by the fact that
19. (TCO 2) To economists the main differences between "the short run" and "the long run" are that
20. (TCO 2) Airlines charge business travelers more...