Road to the Final Exam for Economics, Feb 2024

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

• 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.

Azrie, a market analyst, observes an increase in demand for tablets 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

Sabby, a coffee producer, observes an increase in the supply of coffee beans due to a bumper harvest, while consumer demand remains constant. What is likely to happen to the equilibrium price and quantity of coffee beans?

• A) Price decreases, quantity increases

• B) Price increases, quantity decreases

• C) Price decreases, quantity stays the same

• D) Price stays the same, quantity decreases

Economist Firhan is 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

Researcher Ruqayyah is studying the bubble tea market. She observes that due to a sudden surge in demand for bubble tea during a promotional event, there is now a shortage of these beverages in the market. When does a shortage occur in the bubble tea market?

• A) When demand exceeds supply

• B) When supply exceeds demand

• C) When demand and supply are equal

• D) When demand increases and supply decreases

Economist Kamarul 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

As a social demographic scientist, Kamelia is studying different types of economic systems. An economic system where individuals and sellers make economic decisions using a price system is known as:

• A) Socialism

• B) Communism

• C) Capitalism

• D) Mixed economy

As graduate researchers in labor economics, Raja and Sharah are studying the concept of labor as an important factor of production in economics. Labor refers to:

• A) Resources including physical land as well as minerals, water, forests, and other resources that originate from the land.

• B) Human effort, both physical and mental, contributes to the production of goods and services.

• C) Labor Accelerator, which includes tools, machinery, equipment, and infrastructure used in production to enhance the production process.

• D) Master of Labors, which is the innovative and risk-taking activity of individuals who organize and manage the other factors of production to create and bring products or services to market.

UniKL alumni Haikal and Diyana are successful entrepreneurs known for their innovative ventures. What does the success of their ventures primarily rely on?

• A) The availability of natural resources in their business operations

• B) The efforts of their workforce in producing goods and services

• C) The investment in tools, machinery, and infrastructure for production

• D) The innovative and risk-taking strategies they employ to bring unique products or services to market

Malek and Yaya, 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) Trade war between China and US

• C) Studies on overall price level

• D) Analyzes demand and supply of goods