Question

Instruction: Write your name, co Texas Southern University ECON232.02 - Test 2 ", and course section on your Scantron 1. Microeconomics deals with: A) the working of the entire economy or large seu B) economic growth. C) individual decision makers in the economy. D) gross domestic product. economy or large sectors of it. 2. If resources are scarce, it means that they: A) are insufficient to provide enough goods and servic wants and needs. B) have no opportunity cost. C) are probably not valued by consumers. D) have an unlimited supply. oods and services to satisfy all human material 3. When we are forced to make choices, we are facing the concept of: A) human capital. B) inflation. C) scarcity. D) market failure. 4. Which of the following is NOT a resource in the production of rice? A) fertile land B) labor C) capital equipment D) money 5. The opportunity cost of something is: A) greater during periods of rising prices. B) equal to the money cost. C) less during periods of falling prices. D) what is given up to acquire it.

Answer 1

1) C. Microeconomics deals with the individual decision makers in the economy

2)A. If resources are scarce then it means they are insufficient to provide enough goods and services to satisfy all human material

3)C. During scarcity we need to make choices

4)D Money is not used as a factor of production in rice

5)D. Opportunity cost is the next best alternate forgone. It is what is given up to acquire it