Paribus - Study guides, Revision notes & Summaries

Explain revealed preference correct answers If a consumer chooses good A over good B, that must be because they preferred good A to good B and it brought them more utility/they have higher welfare with good A than good B Values of utility only have meaning when .... correct answers Being compared to each other/relative to each other - the numbers have no literal meaning It is assumed that u(c, o) increases with ______. We can make this assumption because ..... correct answers Assume that u...

The Latin term "ceteris paribus" means correct answers other things equal A positive statement is one that correct answers focuses on facts, descriptions, and theoretical relationships. The alternative combinations of two goods that a consumer can purchase with a specific money income is shown by correct answers a budge line The slope of a budget line reflects the correct answers the price ratio of the two products The economizing problem is one of deciding how to make the best use...

No choice is free because __________? Options: - Resources are unlimited - Resources vary by economy - Resources are limited - Resources are constant over time - ACCURATE ANSWERS - Resources are limited Choose the economic concept that best fits the question or statement: I've already done 45 minutes of exercises; how many more calories will I get rid of if I exercise for another 10 minutes? Options: - Average Production (or Productivity) - Marginal Thinking - Opportunity Cost...

Causal Effect correct answers A ceteris paribus change in one variable that has an effect on another variable Ceteris Paribus correct answers all other relevant factors are held fixed Cross-sectional Data Set correct answers A data set collected by a sampling population at a given point in time Data Frequency correct answers The frequency at which time series data are collected. Yearly, quarterly, and monthly are the most common data frequencies Econometric Model correct answers An e...

In the equation, y=β0+β1x1+β2x2+u β2 is a(n) _____. a. independent variable b. dependent variable c. slope parameter d. intercept parameter correct answers C Consider the following regression equation: y=β1+β2x1+β2x2+u . What does β1 imply? a. β1 measures the ceteris paribus effect of x1 on x2 b. β1 measures the ceteris paribus effect of y on x1 c. β1 measures the ceteris paribus effect of x1 on y. d. β1 measures the ceteris paribus effect of x1 on u correct answers C ...

_____________ is calculated by taking the quantity of everything that is sold and multiplying it by the sale price. A. Total revenue B. Total profits C. Average profit margin D. Total cost - Answer-A. Total revenue A __________________ exists when the quantity demanded in the market is less than the quantity at the bottom of the long-run average cost curve. A. natural monopoly B. monopoly C. oligopoly D. monopolistic competition - Answer-A. natural monopoly A change in which of the f...

The aggregate demand curves slopes downward to the right indicating that:An increase in the price level leads to a decrease in the quantity of real GDP demanded Ceteris paribus, a decline in the domestic price level causes:An increase in exports, a decrease in imports, and an increase in the quantity of real GDP demanded, ALSO, an increase in the purchasing power of a given money income All of the following will increase aggregate demand except:A decrease in foreign real national incom...

1 Microeconomics deals with: • the working of the entire economy or large sectors of it. Incorrect • economic growth. Incorrect • individual decision makers in the economy. (True Answer )Correct • gross domestic product. Incorrect 2 The study of a single firm and how it determines prices would fall under the study of: • macroeconomics. Incorrect • microeconomics. (True Answer )Correct • economic growth. Incorrect • fiscal policy. Incorrect 3 Macroeconomics deal...

Nonexperimental data correct answers data that has not been obtained through controlled experiments on individuals, firms, or segments of the economy observational data correct answers Nonexperimental data; emphasize the fact that the researcher is a passive collector of the data. Experimental data correct answers Data that have been obtained by running a controlled experiment. empirical analysis correct answers A study that uses data in a formal econometric analysis to test a theory, ...

Econ Final Exam Review: Nisha Aroskar Questions and Answer 100% Pass What is economics? -Answer-Science of making choices, science of scarcity What is scarcity? -Answer-Limited resources to satisfy unlimited human wants What are the factors of production and their rewards? -Answer-Land = rent Labor = wages Capital = interest Entrepreneur = profit What is opportunity cost? -Answer-The value of the next best alternative given up What is Production Possibilities Frontier? -Answer-Graph tha...