Economics is a study of
A) how to make money in the stock market.
B) how to run a business successfully.
C) the allocation of scarce resources.
D) personal finance.
Answer: C
You might also like to view...
In a closed economy with no government, aggregate expenditure is
A) consumption plus investment. B) saving plus investment. C) consumption plus the MPC. D) MPC + MPS. E) none of the above.
Which of the following occurs if the production of a good gives rise to positive externalities?
A) The marginal social cost curve lies to the right of the supply curve. B) The marginal social cost curve lies to the left of the supply curve. C) The marginal social benefit curve lies to the right of the demand curve. D) The marginal social benefit curve lies to the left of the demand curve.
Labor demand is decreasing in the wage because
A) the substitution effect is larger than the income effect. B) the income effect is larger than the substitution effect. C) the production function is concave. D) the marginal product of labor is increasing in labor.
The monopolist's cost curves differ from those of a perfectly competitive firm in that the:
A. marginal cost curve is downward sloping instead of flat. B. average total cost curve is not necessarily minimized where it crosses marginal cost. C. average variable cost in no longer equal to marginal cost. D. The cost curves are the same for a firm regardless of market structure.