Not a quiz, it is a study guide to be used.

5:36 PM Sun Jul 30 .1 5GW @ 22% Take Quiz Exit (Remember that the Latin ph You started this quiz near when it was due, so you won't X have the full amount of time to take the quiz. D Question 1 1 pts Which event listed below would shift the production possibilities frontier outward? O the emigration of people of working age O more rapid obsolescence of capital equipment and structures O finding new uses for existing technology D Question 2 1 pts If the United States could produce every good more cheaply than Japan, the U.S. would enjoy O an absolute, but not a comparative, advantage in the production of every good. O a comparative, but not an absolute, advantage in the production of every good. O both an absolute and comparative advantage in the production of every good. D Question 3 1 pts5:37 PM Sun Jul 30 .1 5GW @ 21% Take Quiz Exit D Question 10 1 pts Questions 8-13 test your understanding of the (price) elasticity of demand. 10. The quantity demanded of drinking water is very unresponsive to a change in price. The demand for drinking water is, however, only a small part of the total demand for water, i.e., the demand for water for all domestic and industrial purposes. Economists would expect that the total demand for water would be OA less responsive to a change in price than the demand for drinking water. O B more responsive to a change in price than the demand for drinking water. D Question 11 1 pts Questions 8-13 test your understanding of the (price) elasticity of demand. 11. The absolute value of the (price) elasticity of demand of a straight-line demand curve OA is constant and equal to one. O B varies over its length from infinity to zero (as price falls). OC varies over its length from zero to infinity (as price falls).5:36 PM Sun Jul 30 .1 5GW @ 22% Take Quiz Exit D Question 3 1 pts If the United States could produce every good more cheaply than Japan, it would O very likely be economically efficient for the U.S. and Japan to specialize and exchange. O always be economically efficient for the U.S. and Japan to specialize and exchange. O never be economically efficient for the U.S. and Japan to specialize and exchange. D Question 4 1 pts The gains from exchange are defined as O the sum of the consumer surplus and the producer surplus O the difference between the consumer surplus and the producer surplus D Question 5 1 pts Assume cattle are raised for both meat and hides. Ceteris paribus, how would a rise in the demand for5:36 PM Sun Jul 30 .1 5GW @ 21% Take Quiz Exit D Question 5 1 pts Assume cattle are raised for both meat and hides. Ceteris paribus, how would a rise in the demand for meat affect the price of hides? O It would raise the price of hides. O It would lower the price of hides. D Question 6 1 pts Here are four statements about how people's expectations of future prices affect what they do in the current period. If both buyers and sellers expect the price to rise next period, the price would rise in the current period. If both buyers and sellers expect the price to fall next period, the price would fall in the current period. If buyers expect the price to rise next period and sellers expect the price to fall next period, the quantity traded would rise in the current period. IV If buyers expect the price to fall next period and sellers expect the price to rise next period, the quantity traded would fall in the current period. Choose the correct option from the list below.5:36 PM Sun Jul 30 .1 5GW @ 21% Take Quiz Exit D Question 6 1 pts Here are four statements about how people's expectations of future prices affect what they do in the current period. If both buyers and sellers expect the price to rise next period, the price would rise in the current period. I If both buyers and sellers expect the price to fall next period, the price would fall in the current period. II If buyers expect the price to rise next period and sellers expect the price to fall next period, the quantity traded would rise in the current period. IV If buyers expect the price to fall next period and sellers expect the price to rise next period, the quantity traded would fall in the current period. Choose the correct option from the list below. O All four statements are true. O Only I and IV are true. O Only Ill and IV are true. O Only I and II are true. Only II and Ill are true.5:36 PM Sun Jul 30 .1 5GW @ 21% Take Quiz Exit O Only II and Ill are true. D Question 7 1 pts This question tests your understanding of the market period (also known as the very short run). At the equilibrium price, the amount by which the total stock exceeds the quantity demanded by buyers is equal to O the quantity supplied by sellers O both the options in this list the sellers' reservation demand D Question 8 1 pts Questions 8-13 test your understanding of the (price) elasticity of demand. 8. The SHORTER the time period under consideration, O A the less responsive is the quantity demanded of a good to a change in its price. O B the more responsive is the quantity demanded of a good to a change in its price.5:37 PM Sun Jul 30 .1 5GW @ 21% Take Quiz Exit D Question 8 1 pts Questions 8-13 test your understanding of the (price) elasticity of demand. 8. The SHORTER the time period under consideration, OA the less responsive is the quantity demanded of a good to a change in its price. O B the more responsive is the quantity demanded of a good to a change in its price. Question 9 1 pts Questions 8-13 test your understanding of the (price) elasticity of demand. 9. The GREATER the number of close substitutes there are, O B the more responsive is the quantity demanded of a good to a change in its price. OA the less responsive is the quantity demanded of a good to a change in its price. D Question 10 1 pts