Hi! Need help with 1st microeconomic unit

.Pleaset list the letter that best answers the question AND give a brief explanation as to why. Test MCQs: Module 1.1 - Page 417 - Questions 1 - 7, Module 1.2 - Page 422 - Questions 1 - 7,Module 1.3 - Page 430 - Questions 1 - 9,Module 1.4 - Page 438 - Questions 1 - 7

Module 1.1 Review Check Your Understanding 1. What is it about most resources that forces everyone to make choices? from Brainiacs, Inc., which would pay you $50,000 per 2. Under which category does each of the following year and you must consider the trade-offs. Is each of the resources fall? following elements an opportunity cost of accepting the a. time spent making pizzas at a restaurant new job at Brainiacs, Inc.? Answer yes or no, and explain b. a bulldozer your answer. c. a river a. the increased time spent commuting to your new job b. the $45,000 salary from your old job 3. You make $45,000 per year at your current job with c. the more spacious office at your new job Whiz Kids Consultants. You are considering a job offer Tackle the AP Test: Multiple-Choice Questions 1. Which of the following is an example of capital? 5. Which of the following questions is studied in a. a cheeseburger dinner d. a factory b. a construction worker microeconomics? e. an acre of farmland a. Should I go to college or get a job after I graduate? c. petroleum b. What government policies should be adopted to 2. Which of the following is not an example of resource promote employment in the economy? scarcity? c. How many people are employed in the economy this a. There is a finite amount of petroleum in the world. year? b. Farming communities are experiencing droughts. d. Has the overall level of prices in the economy c. There are not enough physicians to satisfy all desires increased or decreased this year? for health care in the United States. e. What determines the overall salary levels paid to d. Cassette tapes are no longer being produced. workers in a given year? e. Teachers would like to have more instructional 6. An activity should certainly continue if the technology in their classrooms. a. marginal benefit is positive. 3. Suppose that you prefer reading a book you already own b. marginal cost is negative. to watching videos and that you prefer watching videos c. marginal cost exceeds the marginal benefit. to listening to music. If these are your only three choices, d. marginal benefit equals the marginal cost. e. marginal benefit exceeds the marginal cost. what is the opportunity cost of reading? a, watching videos and c. listening to music 7. All opportunity costs are listening to music d. sleeping a. nonmonetary. b. watching videos e. the price of the book b. forgone monetary payments. 4. Which of the following statements is normative? c. losses of time. d. values of alternatives that must be given up. a. The price of gasoline is rising. e. related to educational opportunities. b. The price of gasoline is too high. c. Gas prices are expected to fall in the near future. d. Cars can run on gasoline, electricity, or diesel fuel. e. When the price of gasoline rises, drivers buy less gasoline. atqoono) shipping Module 1.1 Review 417Tackle the AP Test: MultipleChoice Questions 1- The system that coordinates a society's choices about production and consumption is in every case its a. central authority. (1. free enterprise. I). market. e. economy. I:- government. 2. One of the three basic economic quesrions is: a. How much will it cost? b. With which countries will we trade? c. Who will receive the goods and services? :1. What will the wage rate be? e. What is the rate of unemployment? 3. Who owns the factors of production in a market ecouomy? a. the government I). households c. general assemblies (:1. councils of workers e. public rms 4. In which type of economy would you be most likely to see children following the same career path as their parents? a. a socialist economy b. a market economy it. a mixed economy d. a traditional economy e. a command economy 5. Which two types of systems are bOEh considered command economies? a. market and traditional b. traditional and socialist c. socialist and communist d. communist and market e. market and capitalist 6. Most countries today have a a. market economy. b. socialist economy. c. command economy. d. traditional economy. e. mixed economy. 7. Which of the following exist(s) in a command economy but not in a market economy? a. property rights for individuals I). land, labor, capital, and entrepreneurship c. plenty of incentives to motivate firms to produce what consumers need :1. easy access to desired goods and services c. a central authority making production and consumption decisions Tackle the AP Test: Free-Response Questions 1. Dene pmpergl rights and incentives. Describe how property rights help to create incentives for productivity. 2. Explain two ways in which command economies differ from market economies. (2 points) Rubric for PRO 1 (3 points) 1 point: Property rights establish ownership and grant iritgividuals the right to trade goods and services with each 0 er. 1 point: Incentives are rewards , . or ' motivate particular choices. punishments that Refer to the graph to answer Questions 1-5. 3. An increase in unemployment could be represented by a Quantity of movement from point capital goods a. D to point C. b. B to point A. c. C to point F. B d. B to point E. OF e. E to point B. E 4. Which of the following might allow economic growth and a movement from point B to point F? C a. more workers D PPC b. discovery of new resources Quantity of consumer goods c. building new factories d. technological advances hrle A AE.P BRUD 1. Which point(s) on the graph represent efficiency in e. all of the above production? a. B and C 5. This production possibilities curve shows the trade-off b. A and D between consumer goods and capital goods. Since capital c. A, B, C, and D goods are a resource, an increase in the production of d. A, B, C, D, and E capital goods today will increase the economy's production e. A, B, C, D, E, and F possibilities in the future. Therefore, all other things equa (ceteris paribus), producing at which point today will resul 2. For this economy, an increase in the quantity of capital in the largest outward shift of the PPC in the future? goods (such as hammers) without a decrease in the a. A quantity of consumer goods (such as shirts) b. B a. cannot happen because there is always an c. C opportunity cost. d. D b. is represented by a movement from point E to point A. e. E c. is represented by a movement from point C to point B. d. is represented by a movement from point E to point B. e. is possible only with an increase in resources or technology. 430 Micro . Unit 1 Basic Economic ConceptsMODULE 1.3 6. The production possibilities curve will certainly be straight if 8. Which of the following could not be considered an a. making more of one good means that less of the economic model? a. a graph AREJUCOM other good can be made. b. an equation b. the opportunity cost of making each good increases as more is made. b c. a computer simulation d. the economy itself c. no resources are specialized for the production of e. a real but simplified economy either good. d. the opportunity cost of making the first unit of each 9. The "other things equal" assumption allows economists to way a. avoid making assumptions about reality. good is the same. enisp of abeel ob b. focus on the effects of only one change at a time. e. the economy experiences decreasing opportunity painsvbsec. avoid making the ceteris paribus assumption. costs for the production of both goods. esitilidiazoo d. allow nothing to change in their model. 7. The allocation of resources in the economy is efficient e. reflect all aspects of the real world in their model. a. at every point along a production possibilities curve. moo worl editbeeC b. at every point above a production possibilities curve. C. at every point below a production possibilities curve.um d. at the point on a production possibilities curve that minimizes the use of resources. e. at the point along a production possibilities curve IT mont aniso that makes consumers as well off as possible.Review Advantage Module 1.4 Check Your Understanding c. Which country has an absolute advantage in the 1. In the country of Imsmall, an automobile can be prod- production of automobiles? In washing machine; uced by 8 workers in one day and a washing machine d. Which country has a comparative advantage in the by 3 workers in one day. In the country of Sosmall, production of washing machines? In automobile an automobile can be produced by 6 workers in one e. What type of specialization results suits in the greatest day, and a washing machine by 2 workers in one day. gains from trade between the two countries? Suppose each country has 24 workers. 2. Refer to the story of Alexis and Jacob illustrated by a. How many automobiles could each country make if Figure 1.4-1 in the text. Explain why Alexis and Jacob, it made nothing else? willing to engage in a trade of 1 fish for 1 1/2 coconuts b. How many washing machines could each country make if it made nothing else? Tackle the AP Test: Multiple-Choice Questions e. 2 units of textiles. Refer to the graph below to answer Questions 1-6 below. 3. Use the graph to determine which country has a Quantity of comparative advantage in producing each good. wheat (bushels) 200 Comparative advantage Comparative advantage Country A's PPC in wheat production in textile production a. Country A Country B b. Country A Country A 100 c. Country B Country A Country B's PPC s than d. Country B Country B s Have.Ofifferal R o e. Country A Neither country 4. If the two countries specialize and trade, which of the 100 150 choices below describes the countries' imports? Quantity of textiles (units) Import wheat Import textiles 1. Use the graph to determine which country has an a. Country Aug-bi Country A absolute advantage in producing each good. b. Country A Country B Absolute advantage in Absolute advantage in c. Country B basin and Country B wheat production textile production ative d. Country B Country A a. Country A Country B e. Neither country Country B b. Country A Country A c. Country B Country A 6 5. What is the highest price Country B is willing to pay to d. Country B Country B pointeds deackee buy wheat from Country A? e. Country A Neither country 18 howgodzilla. 1/2 unit of textiles 2. For Country A, the opportunity cost of a bushel of inbear orb. 23 unit of textiles wheat is all adec. 1 unit of textiles no a. 1/2 unit of textiles. d. 1 1/2 units of textiles stor smuzaos fish b. 2/3 unit of textiles. e. 2 units of textiles c. 1 1/3 units of textiles. ed wells blugasin d. 1'/2 units of textiles. 438 Micro . Unit 1 Basic Economic Concepts oMMODULE 1.4 6. What are the mutually beneficial terms of trade, 7. There are opportunities for mutually beneficial trade measured in units of wheat from Country A per unit of between two countries whenever textiles from Country B? JITens a. one can produce more of everything than the other. a. between 1 and 2 b. the production possibilities curves of the two b. between 2/3 and 2 countries are identical. c. between 1/2 and 11/2 c. each country has a comparative advantage in making d. between 2/3 and 11/2 :07 meet Hiw uoy something. e. between 1/2 and 2 goleneb 5 Ip loop, Yud. the countries are similar in size. yourdevoe ationed pot surevee. no country has an absolute advantage in producing taned both goods. gaucheid enoiebobama.xw