Question

37.   Relative to automobiles, farm land would tend to have a moresupply a) Elastic
b)   Inelastic
c)   Unit elastic
d)   Responsive
e)   None of the above
38.   Suppose that an increase in the price of carrots from $1.20 to $1.40 per pound raises the amount of carrots that carrot farmers produce from 1.2 million pounds to 1.6 million pounds.
The elasticity of supply is: a) 0.54
b)   0.50
c)   2.00
d)   1.86
39.   Which of these is not a topic of study in macroeconomics:
a)   The impact of minimum wage laws on employment in the fast food industry
b)   The impact of monetary policy on the rate of inflation
c)   The impact of tax policy on the rate of economic growth
d)   None of the above
40.   If the market equilibrium price of gas were to be $5 per gallon, and if the government imposed a price ceiling of $3.50 per gallon, this would likely lead to: a) Surplus of inventory
b)   Excess shortage
c)   Would have no effect
d)   None of the above
41.   The opportunity cost for a consumer that smokes cigarettes is:
a)   Cost imposed on others who inhale tobacco smoke
b)   Amount of tax on the cigarettes the consumer buys
c)   Products that the consumer could have consumed instead of cigarettes
d)   Cost of complementary goods such as lighters, ashtrays
42.   Tammie makes $150 a day as a bank clerk. She takes off two days of work without pay to fly to Miami to see a concert. The cost of air flight is $250. The cost of concert ticket is $50. What
is her opportunity cost?? a) $300
b)   $450
c)   $500
d)   $600

Answer 1