Q1. When Lebron James came back to Cleveland, the number of eating and drinking establishments in a 1 mile radius of the Cleveland Cavaliers arena increased by 13.7% and in 1-7 miles increase by 10.7%.This is an example of what?

A. The fact that there are a lot bars around the Cleveland Cavaliers arena

B. A positive externality

C. A negative externality

Q2. Figure 3:Dependent variable is Daily Game Attendance in the NBA from 1950-2000.

Independent Variable Coefficient t-statisticHome

team has a black coach -2235.6 -16.31

Opponent team has a black coach -304 -2.43

Home team # white players 201.8 6.45

Opponent # white players 38.7 1.31

Home team % white 2478 5.23

Opponent team # white 1426.1 3.21

How many more/less tickets would be sold if the team hired a black coach?

A. 2478 fewer tickets sold

B. 2478 more tickets sold

C. 2235.6 fewer tickets sold

D. 2235.6 more tickets sold

Q3. Figure 3:Dependent variable is Daily Game Attendance in the NBA from 1950-2000.

Independent Variable Coefficient t-statistic

Home team has a black coach - 2235.6 -16.31

Opponent team has a black coach -304 -2.43

Home team # white players 201.8 6.45

Opponent # white players 38.7 1.31

Home team % white 2478 5.23

Opponent team # white 1426.1 3.21

Figure 3 provides evidence for what type of discrimination?

A. Consumer discrimination

B. Employer discrimination

C. Statistical discrimination

Q4. Employer discrimination:

A. Occurs when employees prefer not to work alongside other employees of a certain group

B. Occurs when employers have an aversion toward hiring employees of a certain group.

C. Uses group averages to judge individual productivity

D. Occurs when consumers prefer not to purchase goods and services from members of certain group

Q5. Statistical discrimination

A. Occurs when employees prefer not to work alongside other employees of a certain group

B. Occurs when employers have an aversion toward hiring employees of a certain group.

C. Occurs when consumers prefer not to purchase goods and services from members of certain group

D. Uses group averages to judge individual productivity

Q6. Which of the following is an example of a positive externality?

A. The increase in ticket sales because the Utah Jazz are winning so much

B. The increase in automobile traffic around the Utah Jazz Arena when Lebron James and the LA Lakers come to play the Utah Jazz

C. The increase in restaurant revenue around the Utah Jazz arena when Lebron James and the LA Lakers come to play the Utah Jazz

D. The increase in ticket sales because the Jazz arena has a good selection of restaurants

Q7. Which of the following is an example of a negative externality?

A. The increase in automobile traffic around the Utah Jazz Arena when Lebron James and the LA Lakers come to play the Utah Jazz

B. The decrease in ticket sales because the Utah Jazz are losing so much

C. The decrease in ticket sales because the Jazz arena has a bad selection of restaurants

D. The increase in restaurant revenue around the Utah Jazz arena when Lebron James and the LA Lakers come to play the Utah Jazz

Q8. Jane Doe, a Batsman, had 2 Wins Above Replacement (WAR).The market value of a WAR is $300.The average Batsman makes $250 in salary.What would you expect Jane Smith's Salary to be in a perfectly competitive market for Batsman?

$477

$850

$300

$700

Q9. A player's marginal revenue product measures:

A. The total revenue a team earns from its players.

B. The additional revenue a team earns on its concessions.

C. The additional revenue a team earns from the additional productivity of one more player.

D. The additional revenue a team earns from its playoff roster

Q10. Figure 2:Dependent variable is Total Revenue

Independent Variable NFL t-statistic

Wins 412,760 1.96

Wins lagged 211,907 0.95

Population 0 -0.11

Stadium capacity 3,760 5.05

New stadium dummy 8,758,291 2.43

Constant term -38,100,000 -0.7

R-squared 0.45

How much additional revenue would you expect an NFL team to get if they built a new stadium?

A. -$38,100,000

B. $8,758,291

C. $412,760

D. $3,760