If, in the current situation, no one is able to be made better off without someone else being made worse off, then this situation is said to be O a. equitable. O b. normative. O c. effective O d. efficient. All of the following describe positive economics except O a. can be tested. O b. describes "what is." O c. uses facts. O d. describes "what ought to be."Which of the following best describes an entrepreneur? O a. A person who works as an office clerk at a major corporation b. A person who combines the factors of production to produce innovative products O c. Wealthy individuals who provide savings that stimulates the economy O d. A special type of capital Which of the following represents positive economics? O a. If policy X is followed, then outcome Y results. O b. Outcome Y is the best objective to achieve. O c. Policy X is fair. O d. All of the above are positive economic analyses.Which of the following illustrates the concept of scarcity? C] a. All of the above are correct. C] b. There are many competing uses for the annual budget of your city, county, or state. C] c. More clean air is wanted than is available in large polluted metropolitan areas such as Mexico City. C] d. There is usually more than one use of your "free" time in the evening. Because of scarcity, C] a. every desire is fulfilled. C] b. the available supply of time, goods, and resources is greater than human wants. C] c. there are no limits on the economy's ability to satisfy unlimited wants. C] d. it is impossible to satisfy every desire and choices must be made. Which of the following describes the ceteris paribus assumption? E] a. If a company reduces its labor costs, negotiates lower materials costs from its vendors, and advertises, we know that the reduced labor costs are why the company's profits are higher. C] b. If the federal government increases government spending and the Federal Reserve Bank lowers interest rates, we know that the increase in government spending caused unemployment to fall. E] c. If we increase the price of a good, reduce consumer income, and lower the price of substitutes and if quantity demanded is observed to fall, we know that the price increase caused the decline in quantity demanded. E] d. If we decrease the price of a good and observe that there is an increase in the quantity demanded, holding all other factors that influence this relationship constant. Which of the following represents causality rather than correlation? C] a. Interest rates are higher in years ending with a 1 or a E. C] b. Quantity demanded goes up when price falls because lower prices increase consumer purchasing power and because some consumers of substitute goods switch- E] c. In years that fashion dictates wider lapels on men's jackets, the stock market grows by at least 5 percent. C] d. Unemployment falls when the AFC champion wins the Super Bowl. Which of the following best illustrates the application of the model-building process to economics\"?I E] a. Economists come to believe that some economic models are true simply because prominent leading economists say they are true. C] b. A Ph-D. student in economics makes up data on the lumber market and develops a model for their dissertation that seems to be consistent with the data. C] c. A labor economist notices that unemployment tends to be higher among teenagers than more experienced workers. develops a model, and gathers data to test the hypotheses in the model. C] d. On a Sunday morning talk show, two economists with differing political agendas argue about the best way to solve the Social Security problem. The condition of scarcity C] a. prevails in poor economies. C] b. cannot be eliminated. C] c. all of the above are correct. C] d. prevails in rich economies