Micro exam 1

  1. when calculating the opportunity cost of college, which of the following should your probably not include?

    D. the cost of rent for your off-campus apartment
  2. which of the following proases best captures the notion of efficiency?

    B. minimum waste
  3. high school athletes who skip college to become professional athletes

    D. understand that the opportunity cost of attending college is very high
  4. after much consideration, you have chosen Cancun over Ft. Lauderdale as your spring break destination this year. however, spring break is still months away, and you may reverse this decision. which of the following events would prompt you to reverse this decision?

    C. the marginal cost of going to Ft. Lauderdale decreases
  5. if the united states decides to trade with mexico, we know that

    C. mexico and the united states can both benefit
  6. the opportunity cost of obtaining more of one good is shown on the production possibiliies frontier as the

    C. amount of the other good that must be given up
  7. which of the following events could shift the demand curve for gasoline to the left?

    C. public service announcements run on television encourage people to walk or ride bicycles instead of driving cars
  8. Image Upload 1
    the opportunity cost of this economy moving from point A to point B is

    C. 10 toasters
  9. Image Upload 2
    if this economy devotes all of its resources to the production of tooth brushers, then is till produce

    B. 70 toothbrushes and 0 toasters
  10. assume that greece has a comparative adveantage in fish and germany has a comparative adveantage in cars. also assume that germany has an absolute advantage in both fish and cars. if these two countrises specialize and trade so as to maximize the benefits of specialization and trade, then

    D. all of the above
  11. if the demand for a product increases (i.e., the demand curve shifts right), then we would expect

    equilbrium price and equilbrium quantity both to decrease.
    C. equilbrium price and equilbrium quantity both to increase.
  12. mallory decides to spend three hours working overtime rather than watching a vider with her friends. shie earns $8 an hour. her opportunity cost of working is

    B. the enjoyment she woulld have recieved had she wathed the video
Card Set
Micro exam 1
introduction to micro-economics 1200