Which of the following is not a topic of macroeconomics?

A. What factors contribute to the presence of monopolies in the economy.
B. Why unemployment periodically reaches very high levels.
C. What causes inflation and what can be done about it.
D. Why nations have different rates of growth.


Answer: A

Economics

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The decision-making process followed by consumers to maximize utility assumes that

A. consumers have unlimited incomes. B. consumers behave rationally, attempting to maximize their satisfaction. C. consumers are unable to rank their preferences. D. consumers do not know how much marginal utility they obtain from consuming additional units of various products.

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An increase in supply causes

A. price to decrease. B. price to increase. C. quantity supplied to decrease. D. supply and price to increase.

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Which of the following is NOT a private cost?

A. the coffee pot that Jan dropped and broke this morning B. the pollution caused by a firm dumping its wastes into the river C. the health insurance costs a firm must pay for its employees D. the amount that a firm must pay for raw materials to make its product

Economics