Test Bank for Understanding Economics 8e 8th Edition by Mark Lovewell. ISBN-13: 0739
Full Chapters test bank PDF
PART 1 Working with Economics
Chapter 1: The Economic Problem
Chapter 2: Demand and Supply
Chapter 3: Elasticity
PART 2 Efficiency and Equity
Chapter 4: Costs of Production
...
CHAPTER 01 – 8ce
1) The economic problem is essentially one of deciding how to make the best use of:
A) unlimited resources to satisfy unlimited wants
B) limited resources to satisfy unlimited wants
C) unlimited resources to satisfy limited wants
D) limited resources to satisfy limited wants
E) free resources to satisfy expensive wants
2) Economists assume that people customarily behave rationally, meaning that people:
A) virtually always weigh the personal benefits and costs of every available action and
choose an action on the basis of their individual wants
B) act in a rational way when buying and selling products, but not in other settings
C) act rationally when they buy products, but not when they sell them
D) act rationally when they sell products, but not when they buy them
E) are unable to act in an irrational way
3) An economist who says that consumer wants are inexhaustible means that:
A) economic resources are valuable only because they can be used to produce consumer
goods
B) economic resources—natural, capital, and human resources—are scarce
C) consumers wants are virtually unlimited and, therefore, incapable of being fully
satisfied
D) the nature of consumer wants is highly unpredictable
E) the nature of consumer demand varies from time to time and from country to country
4) The fundamental problem of economics is:
Version 1 1
, A) to establish equity between personal and business taxation
B) to establish a democratic political framework for the provision of social goods and
services
C) to establish prices that accurately reflect the relative scarcities of products and
resources
D) to achieve a fair distribution of money income to reduce poverty
E) the scarcity of productive resources relative to consumer wants
5) The economic problem stems from the fact that:
A) the production possibilities curve bows out to the right
B) resources are scarce relative to people's demand for goods and services
C) people act to maximize their own welfare
D) historically the production possibilities curve has been shifting down toward the origin
E) the production possibilities curve bows in to the left
6) The study of economics is carried out because:
A) government interferes with the efficient distribution of scarce resources
B) resources are scarce in relation to consumer wants
C) the market system is an obstacle to the efficient use of plentiful resources to satisfy
limited wants
D) resources are overly abundant as compared with wants and, therefore, a distribution
problem exists
E) government aids in the efficient distribution of scarce resources
7) The scarcity problem:
Version 1 2
, A) persists only because countries have failed to achieve continual full employment
B) persists because a society's consumer wants exceed its available economic resources
C) has been eliminated in all industrialized nations
D) has been eliminated in affluent societies such as Canada and the United States
E) is eliminated when a nation has achieved full employment
8) Because of scarcity, the efficient use of resources is:
A) an important economic goal in all economies
B) an important economic goal only in command economies
C) an important economic goal only in market economies
D) not an important economic goal
E) an important economic goal only in traditional economies
9) As used in economics, the notion of scarcity means that:
A) mineral deposits are available only in limited amounts
B) resources are not so plentiful that all consumer wants can be fulfilled
C) many resources are freely available
D) the quantities available of some resources exceed the demand for them
E) the demand for some resources is nonexistent
10) Stocks and bonds are not considered to be an economic resource because they:
A) sometimes fall in value
B) do not earn interest income
C) are available in unlimited quantities
D) are not free gifts of nature
E) do not add to the economy's stock of real capital
Version 1 3
, 11) The money payments made to owners of human resources are:
A) wages, salaries, or interest
B) wages, salaries, or rent
C) interest or profit
D) wages, salaries, or profit
E) rent or profit
12) Economic resources do NOT include:
A) natural resources
B) real capital assets
C) human effort
D) stocks and bonds
E) human ingenuity
13) Which of the following is a capital resource?
A) a pair of stockings
B) a dump truck
C) a savings account
D) a share of IBM stock
E) a Bell Canada bond
14) The role of the entrepreneur involves:
Version 1 4
Voordelen van het kopen van samenvattingen bij Stuvia op een rij:
Verzekerd van kwaliteit door reviews
Stuvia-klanten hebben meer dan 700.000 samenvattingen beoordeeld. Zo weet je zeker dat je de beste documenten koopt!
Snel en makkelijk kopen
Je betaalt supersnel en eenmalig met iDeal, creditcard of Stuvia-tegoed voor de samenvatting. Zonder lidmaatschap.
Focus op de essentie
Samenvattingen worden geschreven voor en door anderen. Daarom zijn de samenvattingen altijd betrouwbaar en actueel. Zo kom je snel tot de kern!
Veelgestelde vragen
Wat krijg ik als ik dit document koop?
Je krijgt een PDF, die direct beschikbaar is na je aankoop. Het gekochte document is altijd, overal en oneindig toegankelijk via je profiel.
Tevredenheidsgarantie: hoe werkt dat?
Onze tevredenheidsgarantie zorgt ervoor dat je altijd een studiedocument vindt dat goed bij je past. Je vult een formulier in en onze klantenservice regelt de rest.
Van wie koop ik deze samenvatting?
Stuvia is een marktplaats, je koop dit document dus niet van ons, maar van verkoper Tutor247. Stuvia faciliteert de betaling aan de verkoper.
Zit ik meteen vast aan een abonnement?
Nee, je koopt alleen deze samenvatting voor €34,54. Je zit daarna nergens aan vast.
