Category: Introduction To Economics

A. income
B. income and wealth
C. wealth
D. wage and interest income

A. Wages and salaries.
B. income and money
C. goods and services.
firms and households

A. increase the scarcity of resources.
B. makes a country more equitable.
C. allows a country to have a greater variety of products at a lower cost than if it tried to produce everything to home.
D. None of these

A. gross national product.
B. national demand.
C. economy-wide demand
D. aggregate demand

A. With a large enough computer, central planners could guide production more efficiently than markets.
B. Market participants act as if guided by an invisible hand to produce outcomes that maximize social welfare
C. The strength of a market system is that it tends to distribute resources evenly across consumers.
D. Taxes help prices communicate costs and benefits to producers and consumers.

A. about the same point in time over different places
B. about different points in time over the same variable
C. about different variables over different places
D. about different points in time over different places

A. government intervenes
B. government plan production
C. government interferes
D. Prices adjust to reconcile scarcity and desires

A. provides no information because prices in a market system are managed by planning boards.
B. tells consumers to buy less pork
C. tells producers to produce more beef.
D. tells consumers to buy more beef.

A. the business cycle has been eliminated
B. an increase in inflation temporarily increases unemployment.
C. inflation and unemployment are unrelated in the short run.
D. a decrease in inflation temporarily increases unemployment.
E. none of these

A. the behavior of the electronics industry
B. the behavior of firms
C. economics aggregates
D. the activities of individual units