WorksheetsFinal revision
Total questions: 38
Worksheet time: 1hrs 16mins
Name
Class
Date
1.
What is the slope of indifferent curve for normal goods?
a)
downward sloping
b)
upward sloping
c)
L-shape
2.
Which of the following can best describe the meaning of 3 indifferent curves in this graph below?
a)
U3 is more prefered to U2 and U1
b)
U3 is less prefered to U2 and U1
c)
U1, U2, U3 is equally preferred
3.
What is the meaning of point D in this graph below?
a)
Consumers use up the budget
b)
Consumers go over budget
c)
Consumers can have additional spending
4.
What is the correct budget line function?
a)
M = PxX + PyY
b)
M = PxX - PyY
c)
M = PxY + PyX
5.
Look at the graph below. Which point will maximize consumers' utility
a)
Point C
b)
Point A
c)
Point E
6.
What is the shape of indifferent curve in the case of perfect complements?
a)
L-shaped
b)
downward sloping straight lines
c)
upward sloping straight lines
7.
Which of the following can best defined 'sole trader'?
a)
a business owned by a single individual
b)
a business jointly owned by two or more people, sharing the profits and being jointly responsible for any losses
c)
an organization legally allowed to produce and trade
8.
Which of the following can best describe the characteristic of limited liability company (LLC)?
a)
shareholders of a company cannot lose more than they have already invested in the business
b)
shareholders of a company are willing to lose more than they have already invested in the business
c)
shareholders of a company share the profits and take responsibility for any losses
9.
What can be the correct function of profit?
a)
Profit = Revenue - Cost
b)
Profit = Cost - Revenue
c)
Profit = Revenue + Cost
10.
When can a company maximize their profits?
a)
Marginal cost = Marginal revenue
b)
Marginal cost > Marginal revenue
c)
Marginal cost < Marginal revenue
11.
What is the correct definition of "Economics"?
a)
The study of how societies make choices under conditions of scarcity.
b)
The study of how economy works.
c)
The study about what economy ought to be.
12.
According to economists, what do people do when making choices?
a)
People behave rationally
b)
People behave randomly
c)
People behave wisely
13.
What do individuals need to compare when making choices?
a)
benefits and costs
b)
prices and sellers
c)
options and prices
14.
What should people do when marginal benefit is bigger than marginal cost?
a)
individuals should do more of the activity
b)
individuals should do less of the activity
c)
individuals should do at the right amount
15.
What is best definition of "Globalization"?
a)
the increasing integration of economies around the world
b)
the increasing number of people around the world
c)
the increasing levels of income
16.
What can be the problem of immigration issue?
a)
native workers may lose jobs
b)
no more manual jobs
c)
there is a decrease in income
17.
What is the main role of market?
a)
bring together buyers and sellers of goods and services
b)
adjust prices to equilibrium
c)
control the economic activities
18.
Which type of economy happens when government and private sector solve economic problems together?
a)
Mixed economy
b)
Free market economy
c)
Command economy
19.
Which type of economics studies how individuals and firms make economic decisions?
a)
Microeconomics
b)
Macroeconomics
c)
Positive economics
20.
Which of the following principle discusses how the economy works as a whole?
a)
Governments Can Sometimes Improve Market Outcomes
b)
Markets Are Usually a Good Way to Organize Economic Activity
c)
The Cost of Something Is What You Give Up to Get It
21.
What is most appropriate definition of demand?
a)
amount of product that people would be willing and able to purchase at every possible price
b)
amount of a product that people are willing and able to purchase at a specific price
c)
amount of product that people would be willing and able to sell at every possible price
22.
What is the correct demand function?
a)
Qd = a - bP
b)
Qd = a + bP
c)
Qd = aP - b
23.
What happens to demand for package tours when people have get lower income?
a)
Demand decreases
b)
Demand increases
c)
Demand remains unchanged
24.
Young people often choose between Tocotoco and Dingtea. When the price of Tocotoco increases, what happens to the demand curve of Dingtea?
a)
Demand curve shifts righward
b)
Demand curve shifts leftward
c)
Demand curve remains unchanged
25.
What is the most appropriate definition of supply?
a)
the amount of the good or service that producers are willing and able to offer for sale at each possible price
b)
the amount of the good or service that producers are willing and able to offer for sale at a specific price
c)
the amount of the good or service that producers are willing and able to buy at a specific price
26.
Which of the following best describes the law of supply?
a)
as price increases, quantity supplied increases
b)
as price decreases, quantity supplied increases
c)
as price increases, quantity supplied remains unchanged
27.
There are 2 substitutes for drinking tea in Dalat. One is Oolong and the other is Black tea. When the price of Oolong increases, what happens to the supply curve of Black tea?
a)
supply curve shifts leftward
b)
supply curve shifts rightward
c)
supply curve remains unchanged
28.
Which of the following is the correct supply function?
a)
Qs = c + dP
b)
Qs = c - dP
c)
Qs = dP - c
29.
Which of the following definition can best describe the term 'perfect competition'?
a)
a market in which both buyers and sellers believe that their own actions have no effect on the market price
b)
a market in which both buyers and sellers believe that their own actions have effect on the market price
c)
a market in which both buyers and sellers are price setter
30.
Which of the following is NOT a characteristic of perfect competition?
a)
Strong barrier to entry
b)
Similar products
c)
Many buyers and sellers
31.
What is a firm's decision in short-run when the price is between P1 and P3 in the following graph?
a)
still remains in the market
b)
shuts down immediately
c)
exits the industry
32.
Which of the following can best describe a monopolist?
a)
control the price
b)
homogenous products
c)
free barrier to entry and exist
33.
What can be the most suitable definition of GDP?
a)
the market value of all final goods and services produced within an economy in a given period of time
b)
value of goods and services measured at current prices
c)
value of goods and services measured using a constant set of prices
34.
What is the correct function of GDP when using expenditure approach
a)
Y = C + I + G + NX
b)
Y = C + I + G
c)
Y = C + I + NX
35.
What of the following is they key fact of economic fluctuations?
a)
As output falls, unemployment rate rises
b)
Economic fluctuations are regular and predictable
c)
Macroeconomic quantities fluctuate separately
36.
What happens to the aggregate demand curve when government cuts taxes?
a)
the aggregate demand curve shifts right
b)
the aggregate demand curve shifts left
c)
the aggregate demand curve remains unchanged
37.
The percentage of the labour force that is unemployed is the
a)
Unemployment rate
b)
Employment rate
c)
Unemployment population ratio
38.
High inflation levels in the economy leads to _______ in the supply of money.
a)
increase
b)
decrease
c)
no change
100 %
