Explorace Jan 2024

Sabby is faced with the decision to attend a Taylor Swift concert or study for an economics’ test. Which of the following best describes the opportunity cost scenario for Sabby?

• A) The opportunity cost of attending the concert is the satisfaction gained from the concert experience.

• B) The opportunity cost of studying for the economics test is the enjoyment missed from attending the concert.

• C) The opportunity cost is the monetary value of the Taylor Swift concert ticket.

• D) The opportunity cost is the time spent studying instead of attending the concert.

A market analyst, observes an increase in demand for smartphones due to a new feature, with no change in supply. What happens to the equilibrium price and quantity?

• A) Price increases, quantity increases

• B) Price decreases, quantity decreases

• C) Price increases, quantity stays the same

• D) Price stays the same, quantity increases

Economist analyzing the sandwich market. He observes that due to a recent promotional campaign by sandwich shops, consumer demand for sandwiches has decreased temporarily. At the same time, sandwich producers have increased their production to meet the expected demand. As a result, there is now a surplus of sandwiches in the market. When does a surplus occur in the sandwich market?

• A) When demand exceeds supply

• B) When supply exceeds demand

• C) When demand and supply are equal

• D) When demand decreases and supply increases

Economist is studying the economy of a country. He observes that due to significant technological advancements, the country's production possibility frontier (PPF) has shifted to the right. What does a rightward shift of the PPF suggest about the economy?

• A) Increased efficiency in resource allocation

• B) Greater potential for inflation

• C) A decrease in the opportunity cost of production

• D) Lower unemployment rates

first-year degree economics students at UniKL, are discussing the difference between microeconomics and macroeconomics. Which issue falls under microeconomics?

• A) Analyses of total employment in the economy

• B) Deals with aggregate decisions

• C) Studies on overall price level

• D) Analyzes demand and supply of goods

Firhan and Adam are the owners of FIRDAM Coffee, the most popular coffee shop in the Klang Valley. They are studying price elasticity of demand for their coffee. For a certain coffee blend, when the price rises from RM 10 to RM 100, the quantity demanded falls from 100,000 to 75,500 cups. Which of the following answers is the correct calculation of the price elasticity of demand for this product?

• A. 1.26

• B. 0.5

• C. 0.90

• D. 1.0

As market analysts, Rabiya and Sharah are estimating the __________ to determine the relationship between two goods.

• A. income elasticity of demand.

• B. cross elasticity of demand.

• C. price elasticity of demand.

• D. price elasticity of supply.

Kamarul and Eliya Elisa are economists tasked with calculating the national income of their country. Kamarul prefers to use a method that sums up all incomes earned by individuals and businesses in the economy, while Eliya Elisa prefers to use a method that sums up all expenditures made in the economy. Which methods are Kamarul and Eliya Elisa using, respectively?

 

• A) Production Method and Income Method

• B) Expenditure Method and Production Method

• C) Income Method and Expenditure Method

• D) Production Method and Consumption Method

economists working in the Department of Statistics Malaysia (DOSM), are studying the national income equilibrium of their country. Which methods should they utilize for that purpose?

• A) Production Method and Expenditure Method

• B) AD = AS Method and Leakages = Injections Method

• C) Income Method and Production Method

• D) Leakages = Injections Method and Demand= Supply Method

a researchers at the 6 Muhammad Research Center in Borneo School of Economics, are investigating the relationship between consumption and savings. They are given the consumption function:

C = 2500 + 0.75Yd

 

Which of the following equations most likely represents the savings function (S) as a function of disposable income (Yd) based on this consumption function?

• A.  S =  2500- 0.25Yd

• B.  S = -2500 / Yd

• C.  S = Yd - (2500 + 0.75Yd)

• D.  S = - 2500 + 0.25Yd