Question

A.İhe talent for organizing the use of land, labor and capital, un ngoher things skill in influencing government regulators and legislators C. accumulated technical knowledge in using labor and capital. o he 35. Here are three things you could do if you do not attend your economics class: watch television with some friends (you value this at $25), read a good novel (you value this at 513), or go in to work (you could earn $20 during the economics class). The opportunity cost of going to your economics class is A. $20, because this is the only alternative of the three where you actually receive a monetary payment. B. $13, because this is the lowest valued alternative forfeited. C. $25, because this is the highest valued alternative forfeited. D. $58, because this is the total dollar sum of the alternatives forfeited 36. Which of the following is a microeconomics topic? A. the study of how prices are determined in the computer industry B. the study of unemployment in the economy C. the study of how changes in the nation's money supply affect the nation's output D. a andc E. b and c 37. Which of the following is a normative macroeconomics statement? A. The central bank should increase the nation's money supply B. The increase in the nation's money supply helped push the nation's unemployment rate down in the short run. C. Ford Motor Company's new advertising campaign ended up hurting General Motors' sales. D. The local government ought to spend more on recreational facilities. A. The central bank should increase the nation's money supply. B. The increase in the nation's money supply helped push the nation's unemployment rate d 38. Which of the following is a positive microeconomics statement? in the short run. C. Ford Motor Company's new advertising campaign ended up hurting General Motors's D. The local government ought to spend more on recreational activities

Answer 1

35) C) $ 25, because this is the highest value alternative forfeited.

Opportunity cost is the value of next best alternative foregone. Among these 3 things, best is $ 25 which is foregone.

36) A) the study of how prices are determined in the computer industry.

Microeconomics is the study of economic relations and economic problems at the level of individual firm or industry. Unemployment and nation's money supply are macroeconomics concept.

37) D) The local government ought to spend more on recreational facilities.

Normative statements describe "what ought to be". Its objective is to determine the norms and aims. These statements pronounce value judgement.

38) C) Ford Motor Company's new advertising campaign ended up hurting General Motor.

Positive statements describe what was, what is and what would be under the given set of circumstances. All these statements are capable of empirical verification.