Premium Essay

Bea111

In: Business and Management

Submitted By mabelyang66
Words 2337
Pages 10
Quiz 1
1. Economics is best defined as the study of how (3)
1) prices and quantities of goods and services are determined in markets.
2) private firms and households respond to taxes and subsidies.
3) people make choices in the presence of scarcity and the results of those choices.
4) interest rates and exchange rates are determined.

2. The scarcity principle implies that (4)
1) people will never be satisfied with what they have.
2) as wealth increases, making choices becomes less necessary.
3) the prices of scarce goods must rise due to excess demand.
4) choices must be made and tradeoffs will occur.

3. The 'no-free-lunch' principle is another name for the (2)
1) cost-benefit principle.
2) the scarcity principle.
3) the ceteris paribus principle.
4) the marginal (not average) principle.

4. You currently go to the gym three times each week. Each visit costs you $15 and you get $90 worth of benefits from your current weekly gym routine. Given this information (4)
1) you should go to the gym a fourth time each week.
2) you should reduce the number of times you go to the gym each week.
3) you should not change your gym routine. 4) it is impossible to say whether you should go to the gym more often than three times a week.

5. To earn her allowance of $30 Janie must either mow the lawn or wash clothes. She dislikes both chores, but prefers working outdoors. If both jobs take the same amount of time Janie will choose to mow because the ______________ is greater.(3)
1) marginal benefit
2) average benefit
3) economic surplus
4) opportunity cost. 6. Suppose Xena is willing to pay $1,000 for a new sword, but she is able to purchase one for $900. Her ___________ is __________. (4)
1) total benefit; $100
2) opportunity cost; $100
3) economic surplus; $1,000
4) economics surplus; $100

6.

Similar Documents

Premium Essay

Bea111

...1492435 Hao Zhengxun Q1: When I want to buy a piece of clothing, I need to know what type of the clothes I need, then I can choose the style of the clothes I want to wear. After that, I will choose the appropriate size and pay the money. I am the end consumers that a person who buys goods and services for their own personal use (to satisfy my needs). The clothing retail is the business and organisational customers which means the buyer who buys for resale or to produce other goods and services. The Internal factors that I like and external factors that include my friends’ advice, marketing activities such as model and advertising will influence my decision. Q2: Consumer behavior will be influenced by internal factors, external factors, marketing activities and environmental influences. In addition, cultural, social, personal, and psychological characteristics will also influence the consumer choice. The economic and political are also the important factors for the consumer behavior. I think the personal is the most important effect on what influence our purchasing behaviors. The buyer’s decisions are influenced by personal characteristics, which included age and life-cycle stage, economic situation, personality and self-concept. People’s decisions may reflect their lifestyles. The tastes in food, clothes are often age related. In addition, income is the most direct reason to affect the behavior of buying, different economic conditions for the choice of products is also different...

Words: 447 - Pages: 2

Free Essay

Music

...|节次时间 |星期一 |星期二 |星期三 |星期四 |星期五 | |上午 |1-2节 |FtoF Classes 5、6、7、8、15 |FtoFClasses 5、6、7、8、13、14、15、16 |FtoFClasses 5、6、7、8 |FtoF Classes |FtoF Classes 5、6、7、8、13、 | | |8:15 |406.407.408.409.403 |406.407.408.409.. 401.304.403.405. |406.407.408.409. |5、6、7、8、13、14、15、16 |14、16 | | |至 |Language Lab 13、14 |Language Lab 1、2 |Language Lab 15、16 |406.407.408.409.. 401.304.403.405. |406.407.408.409.. 401.304. 405. | | |09:50 |AIEN机306 |AIEN机306 |AIEN机306 |大学英语 1-4 5102 |Language Lab 11、12 | | | | |高等数学 9-12 5101 |体育 13、14 体育馆 |高等数学 9-12 5101 |AIEN机306 | | | | |体育3、4 体育馆 |微观经济学 9-12 5102 | ...

Words: 935 - Pages: 4

Premium Essay

Asdas

...BEA111 Principles of Economics 1 Question 1 Brooke, Grant and Melanie are three friends deciding how they will celebrate the New Year TOGETHER. Brooke prefers to go on a cruise, is happy to go to Fiji, but does not want to go to Brisbane. Grant prefers to go to Brisbane, is happy to go to Fiji, but does not want to go on a cruise. Melanie prefers to go to Fiji or to take a cruise but does not want to go Brisbane. a) If all three are rational, how will they celebrate the New Year? Explain. b) Identify each person’s opportunity cost of their final decision.   | Happy to go on a cruise? | Happy to go to Brisbane? | Happy to go to Fiji? | Brooke | Extremely | No | Yes | Grant | No | Extremely | Yes | Melanie | Yes | No | Extremely | Rational choice | No | No | Yes | The ultimate goal of all three friends including Brooke, Grant and Melanie is to celebrate the New Year together. Therefore, the premise of the rational choice is that they must celeberate the New Year together. Therefore, finding a way that could mostly satisfy the common interests or preferences of all these three friends can be considered as a rational choice. The current situation can be placed in a chart above, and it can be seen that while Grant does not wish to take a cruise as the method of transport, Brooke and Melanie are happy to go on a cruise, especially for Brooke. However, Brooke and Melanie have not specifically mentioned that they are unwilling to go on a cruise. To satisfy the...

Words: 1043 - Pages: 5