Study Guides (248,358)
Canada (121,503)
Economics (462)
ECON 1B03 (154)
Midterm

Econ 1B03 Micro Practice Test.docx

3 Pages
225 Views
Unlock Document

Department
Economics
Course
ECON 1B03
Professor
Hannah Holmes
Semester
Winter

Description
2) Which acquisition of more of the following will shift the production possibilities frontier to the right? - Land, Labour & Capital 3) If the unemployment rate increases from 10% to 12% the - Economy will move farther away from the production possibility frontier 4) a society can produce two goods: bread and cookies. The society’s ppf is negatively sloped and “bowed outward” from the origin. As this society moves down its ppf producing more and more units of cookies, the opportunity cost of producing cookies -increases 5) the following table shows the units of output a worker can produce per month in china and japan -1/4 electronics 6)The following table shows the units of output a worker can produce per month in chana and japan - divide it by 20 - -china has a comparative advantage in food japan has a comparative advantage in electronics 7) The following table shows the units of output a woeker can produce per month in china and Japan. -China has absolute advantage in both goods 8) Sweaters are produced using wool and labour. In montega, a sweatere can be produced with 3 skeins of wool and 3 hours of labour time. In Xena, a sweater can be produced with 3 skeins of wool and 2 hours of labpur time. Which of the following is true. - Xena has an absolute advantage in the production of sweaters, but from this info 9) According to the law of demand there is a ___ relationship between price and quantity demanded. -a negative 10)The Halifax corporation produces chairs, an economist working for the fir, predicts that “if peoples incomes rise next year, then the demand for pir cjaors wo;; increase. Ceteris [paribus. The accuracy of the economists prediction depends on whether the chairs Halifax produces d) Are normal good 11)During an economic downturn when the consumer income falls, the demand for icecream increases and the demand for chocolate cake decreases. This implies that chocolate cake decreases this impilies that -icecream is an inferior good and chocolate cake is a normal good 12) The QD of pepsi has decreased. The best explanat
More Less

Related notes for ECON 1B03

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit