Arec 202 final - Study guides, Class notes & Summaries

THE rule (and its variations): How is the optimal level of any activity (for consumers, firms or governments) determined? Marginal cost = marginal benefit On the 2x2 efficiency table: What effect on efficiency (total surplus) do government interventions have in a market in which originally the government had not intervened? Market works well - marginal benefit =marginal cost total surplus was maximized, and the government intervenes things will go wrong and vice versa (if it's not broke do...

CSU AREC 202 FINAL EXAM | QUESTIONS & ANSWERS (VERIFIED) | LATEST UPDATE | GRADED A+CSU AREC 202 FINAL EXAM | QUESTIONS & ANSWERS (VERIFIED) | LATEST UPDATE | GRADED A+CSU AREC 202 FINAL EXAM | QUESTIONS & ANSWERS (VERIFIED) | LATEST UPDATE | GRADED A+

AREC 202 FINAL EXAM QUESTIONS AND ANSWERS 2024 1. The optimal level of any activity (for consumers, firms or governments) is where A) average benefits from this activity equal average costs of this activity. B) total benefits from this activity equal total costs of this activity. C) marginal benefits from this activity equal marginal costs of this activity. D) marginal benefits from this activity are maximized. -Answer- 1. To decide whether to increase an activity by one unit you should co...

AREC 202 FINAL EXAM PRACTICE QUESTIONS AND ANSWERS (100% PASS)

CSU AREC 202 FINAL Exam Tested Questions & Revised Correct Answers THE rule (and its variations): How is the optimal level of any activity (for consumers, firms or governments) determined? - ANSWER : Marginal cost = marginal benefit On the 2x2 efficiency table: What effect on efficiency (total surplus) do government interventions have in a market in which originally the government had not intervened? - ANSWER : Market works well - marginal benefit =marginal cost total surplus w...

AREC 202 Final Exam 2024 Actual Questions and Answers Complete

AREC 202 FINAL EXAM QUESTIONS AND ANSWERS 100% VERIFIED The Rule - answerMarginal Benefit = Marginal Cost Deadweight Loss - answerThe reduction in total economic surplus due to the adoption of a policy, occurs when policy reduces quantity transacted below efficient market equilibrium quantity Total Surplus - answerThe total net gain to consumers and producers from trading in the market What is the effect of government interventions in a market that does not have problems with asymmetric...

To decide whether to increase an activity by one unit you should compare A) opportunity costs and sunk costs B) marginal benefits and marginal costs C) average benefits and average costs - correct answer-B) marginal benefits and marginal costs 2. Assume the price for a can of Red Bull is $3. When you enter the supermarket you are willing to pay $4 for the first can, $3.50 for the second can, $2.75 for the third can and $1 for the fourth can. How many cans should you buy? A) 0 B) 1 C...

AREC 202 Final Exam With 100% Verified Solutions The difference between "demand" and "quantity demanded" is that - answer"demand" refers to the entire curve while "quantity demanded" refers to a particular price-quantity combination on the curve. Market supply is the quantities that - answerall sellers combined are willing and able to sell at various prices over a specific time period Cost-benefit analysis - answeris an approach that compared costs to benefits to determine whethe...

AREC 202 (Kroll) Final Exam Study Guide Actual Questions and Answers 2024 Passed