NEW
Font size
WorksheetsMidterm Review
Total questions: 10
Worksheet time: 5mins
A typical production possibilities curve is
an upward sloping line which is concave to the origin
a downward sloping line which is convex to the origin
a downward sloping line which is concave to the origin
a straght upward sloping line
An increase in demand for strawberries is most likely to:
increase the demand for straberry pickers
reduce the supply of strawberry pickers
reduce the supply of strawberries
reduce the demand for strawberry pickers
decrease the demand for raspberries
The income and substitution effects account for:
the upward sloping supply curve
the downward sloping demand curve
movements along a given supply curve
the other things equal assumption
The location of the supply curve of a product depends on:
the technology used to produce it
the prices of resources used in its production
the number of sellers in the market
all of the above
Which of the following will cause a decrease in market equilibrium price and an increase in equilibrium quantity?
an increase in supply
an increase in demand
a decrease in supply
a decrease in demand
The concept of price elasticity of demand measures:
the slope of the demand curve
the number of buyers in a market
the extent to which the demand curve shifts as the result of a price decline
the sensitivity of consumers to price changes
Which of the following is correct?
If demand is elastic, an increase in price will increase total revenue
If demand is elastic, a decrease in price will decrease total revenue
If demand is elastic, a decrease in price will increase total revenue
If demand is inelastic, an increase in price will decrease total revenue
If total uility is increasing, marginal utility
is positive, but may be either increasing or decreasing
must also be increasing
may be either positive or negative
will be increasing at an increasing rate
A consumer is maximizing her utility with a particular money income when:
the total uility derived frmo each product consumed is the same
MUa/Pa = MUb/Pb ..... = MUb/Pn
MUa = MUb = MUc = ..... MUn
Pa = Pb = .... Pn
You will study for this midterm and achieve amazing results!
True
False
