ECON 1010 SECTION 08 (FALL 2025) EXAM 1 EXTRA CREDIT MC POOL

Front

In part, microeconomics is concerned with

Back

how a business firm decides upon the amount it produces and the price it sets.

Front

Which of the following questions is NOT a microeconomic question?

• How would a tax on e-commerce affect eBay?
• What is Britney's opportunity cost of having another baby?
• Does the United States have a comparative advantage in information technology services?
• Can the Federal Reserve keep income growing by cutting interest rates?

Back

Can the Federal Reserve keep income growing by cutting interest rates?

Front

Studying the effects choices have on the individual markets within the economy is part of

Back

microeconomics.

Front

The fact that wants cannot be fully satisfied with available resources reflects the definition of

Back

scarcity.

Front

Which of the following is a macroeconomic issue?

• the hiring decisions that a business makes
• the effect of an increase in the tax on cigarettes on cigarette sales
• the effect of increasing the money supply on inflation
• the purchasing decisions that an individual consumer makes

Back

the effect of increasing the money supply on inflation

Front

Which of the following is a macroeconomic decision or concept?

• how many television sets to produce
• the unemployment rate for the entire economy
• the price of oil
• the unemployment rate for each firm

Back

the unemployment rate for the entire economy

Front

Which of the following is a microeconomic topic? Options: how rent ceilings impact the supply of apartments, how a tax rate increase will impact total production, how a trade agreement between the United States and Mexico affects both nations' unemployment rates, comparing inflation rates across countries

Back

how rent ceilings impact the supply of apartments

Front

As an economic concept, scarcity applies to

Back

both money and time.

Front

The study of the choices made by individuals is part of the definition of

Back

microeconomics.

Front

The study of economics

Back

arises from the fact that our wants exceed available resources.