Quiz 4 Review Test Submission- Quiz 4 (ch 7-Mankiw) – Fall 2021 PDF

Preview

Summary

Quiz 4 Review Test Submission- Quiz 4 (ch 7-Mankiw) – Fall 2021 - ALL Questions and Answers...

Description

Review Test Submission: Quiz 4 (ch 7-Mankiw)

Fall 2021 ECON 2300 01 Introduction To Economics Course

Fall 2021 ECON 2300 01 Introduction To Economics

Test

Quiz 4 (ch 7-Mankiw)

Submitted

9/23/21

Due Date Status Completed Attempt Score 40 out of 40 points Results Displayed

All Answers, Submitted Answers, Correct Answers, Feedback, Incorrectly Answered Questions

Question 1

2 out of 2 points

The study of how the allocation of resources affects economic well-being is called Selected Answer:

b. welfare economics.

Answers:

a. consumer economics. b. welfare economics. c. willingness-to-pay economics. d. macroeconomics.

Question 2

2 out of 2 points

Bill created a new software program he is willing to sell for $200. He sells his "first copy and enjoys a producer surplus of $150. What is the price paid for the software?

Selected Answer:

a. $350.

Answers:

a. $350. b. $200. c. $150. d. $50.

Question 3

2 out of 2 points

On a graph, the area below a demand curve and above the price measures Selected Answer: Answers:

a. consumer surplus.

a. consumer surplus. b. deadweight loss. c. willingness to pay. d. producer surplus.

Question 4

2 out of 2 points

A seller is willing to sell a product only if the seller receives a price that is at least as great as the Selected Answer:

b. sellers’s cost of

production. Answers: a. seller’s profit. b. sellers’s cost of production. c. average willingness to pay of buyers of the product. d. seller’s producer surplus.

Question 5

Figure 7-3

2 out of 2 points

Refer to Figure 7-3. When the price falls from P1 to P2, which area represents the increase in consumer surplus to existing buyers? Selected Answer:

c. BCFD

Answers:

a. DFG b. ACG c. BCFD d. ABD

Question 6

2 out of 2 points

The French expression used by free-market advocates, which literally translates as "allow them to do," is Selected Answer:

c. laissez-faire.

Answers:

a. si'l vous plait. b. tête-à-tête. c. laissez-faire. d. je ne sais pas.

Question 7

Figure 7-12

2 out of 2 points

Refer to Figure 7-12. Area B represents Selected Answer:

b. producer surplus to new producers entering the market as the result of an increase in the price from P1 to P2.

Answers:

a. that portion of the increase i n pr oducer surplus that is offset by a loss in consumer surplus when the price increases from P1 to P2. b. producer surplus to new producers entering the market as the result of an increase in the price from P1 to P2. c. the combined profits of all producers when the price is P2. d. the increase in producer surplus to all producers as the result of an increase in the price from P1 to P2.

Question 8

2 out of 2 points

Josh is willing to pay $40 for a hai rc ut, bu t he is able to pay $25 a t the local salon. His consumer surplus is Selected Answer:

b. $15.

Answers:

a. $65. b. $15. c. $25. d.

$0 because the cost exceeds his maximum willingness to pay.

Question 9

2 out of 2 points

Figure 7-1

Refer to Figure 7-1. If the price of the good is $250, then consumer surplus amounts to Selected Answer:

b. $50.

Answers:

a. $200. b. $50. c. $150. d. $100.

Question 10

Figure 7-12

2 out of 2 points

Refer to Figure 7-12. When the price is P1, producer surplus is Selected Answer:

b. C.

Answers:

a. A+B. b. C. c. A. d. C+D.

Question 11

2 out of 2 points

Producer surplus is the area Selected Answer:

a. below the price and above the supply

curve. Answers:

a. below the price and above the supply

curve. b. under the demand curve and above the price. c. under the supply curve. d. between the supply and demand curves.

Question 12

2 out of 2 points

All else equal, what happens to consumer surplus if the price of a good increases? Selected Answer:

b. Consumer surplus decreases.

Answers:

a. Consumer surplus increases.

b. Consumer surplus decreases. c. Consumer surplus may increase, decrease, or remain unchanged. d. Consumer surplus is unchanged.

Question 13

2 out of 2 points

Figure 7-2

Refer to Figure 7-2. When the price is P2, consumer surplus is Selected Answer:

c. A.

Answers:

a. A+B+C. b. B. c. A. d. A+B.

Question 14

2 out of 2 points

Donald produces nails at a cost of $200 per ton. If he sells the nails for $350 per ton, his producer surplus per ton is

c. $150. d. $350.

Question 15 Table 7-1 Buyer Lori Audrey Zach Calvin

2 out of 2 points Willingness To Pay $50.00 $30.00 $20.00 $10.00

Refer to Table 7-1. If the price of the product is $22, then who would be willing to purchase the product? Selected Answer:

d. Lori and

Audrey Answers:

a. Lori b. Lori, Audrey, and Zach c. Lori, Audrey, Zach, and Calvin d. Lori and Audrey

Question 16 Figure 7-20

2 out of 2 points

Refer to Figure 7-20. At equilibrium, total surplus is measured by the area Selected Answer: Answers:

d. ACG.

a. KBG. b. AFG. c. CFG. d. ACG.

Question 17

2 out of 2 points

Efficiency is attained when Selected Answer:

d. total surplus is maximized.

Answers:

a. producer surplus is maximized. b. consumer surplus is maximized and producer surplus is minimized. c. all resources are being used. d. total surplus is maximized.

Question 18 Figure 7-3

2 out of 2 points

Refer to Figure 7-3. When the price falls from P1 to P2, which area represents the increase in consumer surplus to new buyers entering the market? Selected Answer:

b. DFG

Answers:

a. ABD b. DFG c. ACG d. BCDF

Question 19

2 out of 2 points

Consumer surplus is Selected Answer:

a. the amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it.

Answers:

a. the amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it. b. a buyer's willingness to pay for a good plus the price of the good. c. the amount by which the quantity supplied of a good exceeds the quantity demanded of the good. d. the amount a buyer is willing to pay for a good minus the cost of producing the good.

Question 20

2 out of 2 points

Figure 7-3

Refer to Figure 7-3. Which area represents consumer surplus at a price of P2? Selected Answer: c. ACG Answers:

a. DFG b. BCDF c. ACG d. ABD

←...