Question 1

What do economists assume is true about human wants?

1)	They are easily defined.

2)	That we are on the verge of being able to satisfy them.

3)	They are unlimited.

4)	They haven't changed much over the centuries.

Question 2

Which of the following terms describes the next best alternative that must be sacrificed as a result of making a particular choice?

1)	Microeconomics.

2)	Macroeconomics.

3)

Scarcity.

4)	Opportunity costs.

5)	The law of increasing costs.

Question 3

What can we say is true as a result of people engaging in voluntary trade?

1)	One person gains and the other loses.

2)	One person gains while there is a neutral effect on the other person.

3)	Both people gain.

4)	Neither person gains.

Question 4

Rome 40 bread Of 20 figs Cathay 20 bread Of 40 figsQuantity Quantity Price($) Demanded (D]) Demanded (12) 1.00 1.000 1.100 1.50 980 1.080 2.00 960 1.060 2.50 940 1.040 3.00 920 1.020The question(s) related to this reference involve a normal product. 1. Increase in price A. Increase in quantity traded 2. Decrease in price B. Decrease in quantity traded 3. No change in price C. No change in quantity traded 4. Indeterminate price D. Indeterminate quantity traded\fquantity of bushels per year (in million) Price per bushel ($) S 10 12 14 16 18 Quantity demanded 35 30 25 20 15 10 Quantity supplied 5 10 15 20 25 30f Quarks 800 A 700 B BOO Quantity 500 400 300 200 100 2 4 6 8 10 12 14 16 18 20 Quantity of Quirks2000 1600 VA Quantity of tea per year (in tonnes) 1200 U 800 400 PP BPIN 100 200 300 400 500 600 700 Quantity of videos per year (in thousands)\fPrice $1800 1600 S 1400 1200 1000 800 600 400 200 40 80 120 160 200 2 40 Quantity per month\fS $100 Price 90 80 70 60 50 40 30 20 10 D 200 400 600 800 1,000 1,200 1,400 1,600 1,800 Quantity per period