econ312 week 8 Connect Assessment final exam 2022 latest

The price of product X is reduced from $90 to $80 and, as a result, the quantity demanded increases from 100 to 120 units. Therefore, demand for X in this price range

Multiple Choice

•           

has declined.

•           

is of unit elasticity.

•           

is inelastic.

•           

is elastic.

 

 

 

 

2

 

Arthur sells $100 worth of cotton to Bob. Bob turns the cotton into cloth, which he sells to Camille for $300. Camille uses the cloth to make prom dresses that she sells to Donita for $900. Donita sells the dresses for $1,500 to kids attending the prom. The total contribution to GDP of this series of transactions is

Multiple Choice

•            $2,800.

•            $1,400.

•            $2,700.

•            $1,500.

Fiscal policy refers to

Multiple Choice

•            deliberate changes in government spending and taxes to promote economic growth, full employment, and price level stability.

•            deliberate changes in government spending and taxes to achieve greater equality in the distribution of income.

•            altering of the interest rate to change aggregate demand.

•            fact that equal increases in government spending and taxation will be contractionary.

ther things equal, if there is an increase in nominal GDP,

Multiple Choice

•            the demand for money will decrease.

•            the interest rate will rise.

•           

•            bond prices will rise.

•            consumption spending will fall.

 

 

 

The following are national income account data for a hypothetical economy in billions of dollars: gross private domestic investment ($320), imports ($40), exports ($22), personal consumption expenditures ($2,460), and government purchases ($470). What is GDP in this economy?

Multiple Choice

•            3,294 billion

•            3,250 billion

•            3,232 billion

•            3,272 billion

 

 

 

ountries engaged in international trade specialize in production based on

Multiple Choice

•            relative levels of GDP.

•            comparative advantage.

•            relative exchange rates.

•            relative inflation rates.

 

 

 

Suppose product X is an input in the production of product Y. Product Y in turn is a substitute for product Z. An increase in the price of X can be expected to

Multiple Choice

•            increase the demand for Z.

•            decrease the demand for Z.

•            have no effect on the demand for product Z.

•            decrease the supply of Z.

•            increase the supply of Z.

Economic growth is best defined as an increase in

Multiple Choice

•            either real GDP or real GDP per capita.

•            nominal GDP.

•            total consumption expenditures.

•            wealth in the economy.

 

 

 

Suppose total output (real GDP) is $4,000 and labor productivity is $4. We can conclude that the number of worker hours must be

Multiple Choice

•            1,000.

•            1,600.

•            100.

•            10.

 

 

 

GDP is the

Multiple Choice

•            national income minus all nonincome charges against output.

•            monetary value of all final goods and services produced within the borders of a nation in a particular year.

•            monetary value of all economic resources used in producing a year's output.

•            monetary value of all goods and services, final and intermediate, produced in a specific year.

Pure monopoly refers to

Multiple Choice

•            any market in which the demand curve for the firm is downsloping.

•            a standardized product being produced by many firms.

•            a single firm producing a product for which there are no close substitutes.

•            a large number of firms producing a differentiated product.

The accompanying table gives maximum-output alternatives for Brazil and Poland. If the two nations open up trade with each other, then

Multiple Choice

•            Brazil will export wine.

•            Brazil should specialize in machines.

•            Poland will export wine.

•            Poland will not benefit from specialization and trade.

 

 

 

 

Which of the following is ?

Multiple Choice

•            Required reserves minus actual reserves equal excess reserves.

•            Required reserves equal excess reserves minus actual reserves.

•            Required reserves equal actual reserves plus excess reserves.

•            Actual reserves minus required reserves equal excess reserves.

 

 

 

Economics may best be defined as the

Multiple Choice

•            interaction between macro and micro considerations.

•            social science concerned with how individuals, institutions, and society make optimal choices under conditions of scarcity.

•            empirical testing of value judgments through the use of logic.

•            study of why people are rational.

 

 

 

 

Answer the question based on the given supply and demand data for wheat.

 

Bushels Demanded Per Month   Price Per Bushel          Bushels Supplied Per Month

45          $ 5         79

50          4            76

56          3            73

61          2            70

67          1            67

 

 

Equilibrium price in this market is

Multiple Choice

•            $1.

•            $4.

•            $3.

•            $2

 

 

 

 

 

You are given the following information about the economy: the nominal interest rate = 10 percent, and the real rate of interest = 9 percent. The inflation premium is

Multiple Choice

•            1 percent.

•            19 percent.

•            10 percent.

•            2 percent.

 

 

 

 

When economists say that people act rationally in their self-interest, they mean that individuals

Multiple Choice

•            look for and pursue opportunities to increase their utility.

•            generally disregard the interests of others.

•            are mainly creatures of habit.

•            are usually impulsive and unpredictable.

 

 

 

 

 

 

To say "money is what money does" means that

Multiple Choice

•            money has been defined in a Constitutional amendment.

•            whatever performs the functions of money extremely well is considered to be money.

•            the money supply includes all public and private securities purchased by society.

•            society, acting through Congress, specifies what shall be included in the money supply.

 

 

 

 

 

Skip to main content

Week 8: Connect Assessment

Submitted

82.5out of/100 Total points awarded Help opens in a new windowExit

Item19

2.5/2.5points awarded

ItemScored

Item 19

Answer the question on the basis of the following output data for a firm. Assume that the amounts of all nonlabor resources are fixed.

 

Number of Workers        Units of Output

0            0

1            25

2            60

3            103

4            160

5            210

6            240

 

The marginal product of the sixth worker is

Multiple Choice

•            240 units of output.

•            50 units of output.

•           

30 units of output.

 

•           

−20 units of output.

 

 

 

 

 

 

If the Fed were to reduce the legal reserve ratio, we would expect

Multiple Choice

•            lower interest rates, an expanded GDP, and a higher rate of inflation.

•            lower interest rates, an expanded GDP, and a lower rate of inflation.

•            higher interest rates, a contracted GDP, and a higher rate of inflation.

•            higher interest rates, a contracted GDP, and a lower rate of inflation.

 

 

 

 

 

 

Assume the price of a product sold by a purely competitive firm is $9. Given the data in the accompanying table, at what output level is total profit highest in the short run?

 

Output  Total Cost

20          $ 125

25          $ 130

30          $ 140

35          $ 170

40          $ 190

45          $ 245

50          $ 335

 

rev: 04_30_2021_QC_CS-261775

Multiple Choice

•            40.

•            45.

•            50.

•            35.

 

 

 

 

 

The total demand for money curve will shift to the right as a result of

Multiple Choice

•            an increase in nominal GDP.

•            an increase in the interest rate.

•            a decline in the interest rate.

•            a decline in nominal GDP.

 

 

 

 

 

If the demand for product X is inelastic, an 8 percent decrease in the price of X will

Multiple Choice

•           

decrease the quantity of X demanded by more than 8 percent.

•           

decrease the quantity of X demanded by less than 8 percent.

•           

increase the quantity of X demanded by more than 8 percent.

 

•           

increase the quantity of X demanded by less than 8 percent.

 

 

 

 

 

Most modern banking systems are based on

Multiple Choice

•            money of intrinsic value.

•            commodity money.

•            100 percent reserves.

•            fractional reserves.

 

 

 

 

"International trade" refers to

Multiple Choice

•            purchasing or selling currently produced goods or services across an international border.

•            any transaction across an international border.

•            any financial transaction across an international border.

•            buying or selling of preexisting assets across an international border.

 

 

 

 

A monopolistically competitive firm is producing at an output level in the short run where average total cost is $4.75, price is $4.75, marginal revenue is $3.00, and marginal cost is $3.50. This firm is operating

Multiple Choice

•            with a loss.

•            at the break-even point.

•            with positive profits.

•            at an optimal level of output.

 

 

 

 

Macroeconomics is mostly focused on

Multiple Choice

•            the individual markets within an economy.

•            only the largest industries in the economy.

•            the economy as a whole.

•            why specific businesses fail.

 

 

 

 

 

 

A pure monopolist is producing an output such that ATC = $12, P = $10, MC = $6, MR = $5, and AVC = $7. This firm is realizing

Multiple Choice

•            an economic profit that could be increased by producing more output.

•            an economic profit that could be increased by producing less output.

•            an economic loss that could be reduced by producing less output.

•            an economic loss that could be reduced by producing more output.

 

 

 

 

 

If the exchange rate between the U.S. dollar and the Japanese yen is $1 = 125 yen, then the dollar price of yen is

Multiple Choice

•            $0.008.

•            $8.

•            $0.80.

•            $0.08.

 

 

 

 

 

If the total costs of producing 1,500 units of output is $13,500 and this output sold to consumers for a total of $18,000, then the firm would earn economic profits of

Multiple Choice

•            $13,500.

•            $21,000.

•            $31,500.

•            $4,500.

•            $18,000.

 

 

 

 

 

Which of the following is an example of a capital-intensive commodity?

Multiple Choice

•            clothing

•            wool

•            sunflower seeds

•            chemicals

 

 

 

 

 

 

uppose that technological advancements stimulate $10 billion in additional investment spending. If the MPC = 0.6, how much will the change in investment increase aggregate demand?

Multiple Choice

•            $25 billion

•            $10 billion

•            $6 billion

•            $33.3 billion

 

 

 

 

 

 

 

Suppose that Joe sells pork in a purely competitive market. The market price of pork is $4 per pound. Joe's marginal revenue from selling the 21st pound of pork would be

Multiple Choice

•            $4.

•            $84.

•            21 lbs.

•            $21.

 

 

 

 

Suppose that a business incurred implicit costs of $460,000 and explicit costs of $3 million in a specific year. If the firm sold 100,000 units of its output at $35 per unit, its accounting

Multiple Choice

•            profits were $40,000 and its economic profits were $500,000.

•            losses were $40,000 and its economic losses were $100,000.

•            profits were $350,000 and its economic profits were $0.

•            profits were $500,000 and its economic profits were $40,000.

 

 

 

 

Monopolistic competition means

Multiple Choice

•            a market situation where competition is based entirely on product differentiation and advertising.

•            a large number of firms producing a standardized or homogeneous product.

•            many firms producing differentiated products.

•            a few firms producing a standardized or homogeneous product.

 

 

 

 

The greater the required reserve ratio, the

Multiple Choice

•            higher is the spending multiplier.

•            lower is the spending multiplier.

•            lower is the monetary multiplier.

•            higher is the monetary multiplier.

 

 

 

 

An economic system

Multiple Choice

•            requires a grouping of private markets linked to one another.

•            is a particular set of institutional arrangements and a coordinating mechanism used to respond to the economizing problem.

•            requires some sort of centralized authority (such as government) to coordinate economic activity.

•            is a plan or scheme that allows a firm to make money at some other firm's expense.

 

 

 

 

Government Purchases  $ 15

Personal Consumption   110

Gross Investment            25

Consumption of Fixed Capital (depreciation)    5

Exports 8

Imports 12

 

Refer to the accompanying data (all figures in billions of dollars). GDP is

Multiple Choice

•            $154.

•            $150.

•            $146.

•            $156.

 

 

 

 

Unemployed      7

Total Population              145

Employed           95

Discouraged Workers     3

 

The table contains information about the hypothetical economy of Scoob. All figures are in millions. The unemployment rate in Scoob is

Multiple Choice

•            2.5 percent.

•            3.2 percent.

•            5.0 percent.

•            6.9 percent.

 

 

 

 

Suppose a commercial bank has checkable deposits of $60,000 and the legal reserve ratio is 10 percent. If the bank's required and excess reserves are equal, then its actual reserves

Multiple Choice

•            are $12,000.

•            are $6,000.

•            are $600,000.

•            cannot be determined from the given information.