Question

FART I TRUE FALSE QUESTIONS (10 points). Please write True (1) or False (F) on the blank Scarcity is the intimited nature of society's resources given society's limited wants 2. A reward is a type of positive incentive. 3. To remove difficulty of double coincidence of wants we use money. 4. An exogenous factor is a variable that can be controlled for inside the model. 5. The PPF will not have a constant slope. 6. The law of demand states that there is an inverse relationship between price and quantity demanded. 7. A normal good is a good we buy less of when our income rises. 8. The supply curve shifts left or right when there are changes in the price of the good. 9. When there are many substitutes the demand is elastic. 10. Cross-price elasticity can only be positive. PART II: MULTIPLE CHOICE QUESTIONS (50 points). Please circle the best answer 1. How are changes in opportunity cost related to decision-making behavior? The lower the opportunity cost of doing activity X, the more likely activity X will be done The higher the opportunity cost of doing activity X, the more likely activity X will be done. Changes in the opportunity cost play no role in decision making. The lower the opportunity cost of doing activity Y, the more likely activity X will be done. The higher the opportunity cost of doing activity Y, the less likely activity X will be done. 2. The basic goal of economics is to control the effects of government action. determine how to distribute all that is produced in an economy. address the scarcity problem created because the population's desire for goods exceeds the ability to produce them. match limited resources to people's limited wants and needs. control tastes and wishes so that there will be enough resources to produce all the goods and services that people want. 3. If the government wanted to give people a negative direct incentive not to save money, what would be the appropriate policy? providing individuals a subsidy to save their money b. providing funding for an advertising campaign encouraging people to spend more money c. cause them to lose their jobs imposing a tax on individuals for saving their money informing consumers about all that they could buy with their money with the hope that they Spend more

Answer 1

Answer)

Since you have not mentioned which questions to answer, I have solved some questions.

If you have any doubts please comment...

Part 1)

True or False

1) False

2) True

3) True

4) False

5) False

6) True

7) False

8) False

9) True

10) False

In question 2,

a) Dining Hall Staffer has comparitive advantage in producing smoothie since it has lower opportunity cost.

b) President has absolute advantage in production of milkshake since it needs less labor to produce 1 unit of milkshake.

No of Milk Shake woh smoother b. Cal of lost از وبسایت ها Smesthes 50 25 50 - 2 President Dinux Hall 30 30 و جمال = 3 10 10 Dingyfer staffer M Price 51 5 = 5 + lol 5 6 Price elasticity of supply when P-$2 de 25 when = $5 Q 55 Price elasticity - All Quantiti 35 40 45 5 10 15 20 25 30 55-25 x 2 5-2 GIN 585 = 0.8 The Price elasticity of Subbly is Irelastic [supply is less responsive to change in price] Hesterity last to be the onowie is the yevenue Bouned work was done le $24 for three how of woll 0 3)