B. Are always found

C. Can never decease

D. Always increase over time

B. no more of the activity.

C. less of the activity

D. more or less, depending on the benefits of other activities

A. Alternative

B. Consumer cost

C. Producer cost

A. the loss of interest in using savings

B. the time lost in finding it

C. the expenditure on the good

A. how society manages its unlimited resource

C. how to avoid having to make trade-offs

D. how to fully satisfy our unlimited wants

A. The public sector is large

B. Individual firms make decisions for themselves about what to produce and how to produce it

C. The price mechanism acts as an incentive

B. there are some people who will not work at the going wage rate.

C. people are not willing to work at the going wage rate.

D. there is excess demand in the labour market

A. total

C. expected

D. average

A. government intervenes

B. government interferes

D. government plan production

B. a nonlinear relationship

C. a scatter diagrams

D. a positive linear relationship

A. Wages and salaries.

C. goods and services.

D. ms and households

A. inferior good

C. complementary good

D. bargain

A. nothing because you found the money.

B. Rs20 (because you could have used the Rs20 to buy other ghings)

C. Rs 20 (because you could have used the Rs 20 to buy other things) plus the value of your time spent at the game plus the cost of the dinner you purchased at the game.

E. None of these

A. the additional benefit of buying an additional unit of a product

B. a cost that cannot be avoided. regardless of what is done in the future

D. the cost incurred in the past before we make a decision about what to do in the future.

A. Unions in Western Europe keep the wage high

B. the countries of Western Europe have set high minimum wage rates.

D. The countries of Western Europe have protected their industries from foreign corporation

E. Workers in the united states are highly productive

A. provides no information because prices in a market system are managed by planning boards.

C. tells consumers to buy less pork

D. tells consumers to buy more beef.

B. Rs 500

C. Rs 1000

D. Rs 300

A. positive statements values

C. opinions personal facts

D. opinions facts

A. moves up to the left

C. moves down to the right

D. moves down to the left

A. The money you could have made if you had stayed at home and worked

B. The money you spent on a theater show

D. The money you spend on airline tickets

A. All trade via barter

C. The Subsidizing of products by the government

D. The free provision of products

A. Government intervention

C. Market forces

D. A mixture of government intervention and the free market

A. Would be relevant if we eliminated poverty

B. is relevant only for a capitalist economy like the United States.

D. Suggests all our wants can be achieved.

A. technology

B. government regulation

C. input costs

A. substitute good, inferior good

B. inferior good normal good

D. normal good, complementary good

A. none of these

B. inflation and unemployment are unrelated in the short run.

D. an increase in inflation temporarily increases unemployment.

E. the business cycle has been eliminated

A. Consumers

B. firms

D. industries.

A. OPEC raising the price of oil too much

B. regulations raising the cost of production too much

C. governments increasing the quantity of money too much

A. Buyers spend all their money

B. Everything is sold

C. Excess demanded equals quantity

E. Quantity demanded equal quality supplied

B. Inflation is rising

C. The richest 10 per cent of the population has had a bigger percentage increase in incomes over the past 10 years than the poorest 10 percent

D. The proportion of peoples income paid in taxes is higher under this government than under the previous one.

A. compare shop prices

B. None of the above

C. construct price lists

A. Excess supply

B. Supply

D. Excess demand

A. they can be used in computers governments use them

B. they provide interesting information can be summarized

D. they can be used for tables, they can be graphed

A. economics s is solved by government departments

C. economic decisions are made by the private sector and free market

D. economic allocation is achieved by the invisible hand

B. Consumption

C. Money

D. Allocation

A. Consumption decisions

B. the best way to run society

D. Production technology

B. restricting trade with foreign countries.

C. raising minimum wages.

D. raising union wages.

B. household purchase decisions

C. the relationship between different sectors on the economy

D. individual building blocks in the economy

A. Fewer students will take degree courses in education and more will take accounting courses.

B. fewer students will attend university

C. None of these

A. voters

B. Consumers

D. Workers

A. tastes

C. prices of related goods

D. incomes

B. about different points in time over different places

C. about different variables over different places

D. about the same point in time over different places

B. an increase in the overall level of economic activity.

C. a decrease in the overall level of economics activity

D. a decrease in the overall price level.

A. makes a country more equitable.

C. increase the scarcity of resources.

D. None of these

A. wage and interest income

B. income

C. wealth

B. the behavior of the electronics industry

C. the behavior of firms

D. the activities of individual units

B. reduces market power

C. improves efficiency at the expense of equity.

D. Proves that there is such a thing as a free lunch

A. intercept and slope

C. intercept and scale

D. vertical axis and horizontal axis

A. Circular-flow diagram.

B. Lorenz curve.

D. capital consumption frontier.

B. With a large enough computer, central planners could guide production more efficiently than markets.

C. Taxes help prices communicate costs and benefits to producers and consumers.

D. The strength of a market system is that it tends to distribute resources evenly across consumers.