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ECON-1012-C-Introduction to Macroeconomics

ECON-1012-C-Introduction to Macroeconomics

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Table 1A.4.1

x	120	100	80	140	120	100	160	140	120
y	10	12	14	10	12	14	10	12	14
z	4	4	4	5	5	5	6	6	6

Refer to Table 1A.4.1. If y is held constant, what type of relationship exists between x and z?

a relationship with a maximum

x and y are unrelated

a positive relationship

a relationship with a minimum

a negative relationship

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During a rainstorm, Lingyun can either workout in the gym or go jogging. Lingyun decides to go jogging. Did Lingyun make a rational choice?

Yes, if Lingyun's opportunity cost of working out in the gym is less than his opportunity cost of jogging in a rainstorm.

Yes if Lingyun's benefit from jogging exceeds his benefit from working out in the gym.

No because jogging in a rainstorm isn't rational.

No because during a rainstorm there is no tradeoff between working out in the gym and jogging.

Yes if Lingyun's benefit of jogging exceeds its cost by more than the benefit of working out in the gym exceeds its cost.

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An image of four graphs shows two slopes and two curves. The first graph plots a slope from top left to bottom right. The second graph plots a rising slope from bottom left to top right. The third graph plots a concave curve that falls through the top left to bottom right. The fourth graph plots a convex curve that falls through the top left to bottom right.

Refer to Figure 1A.2.3. Which of the graphs in Figure 1A.2.3 shows the relationship described in the table?

x	2	4	6	8	10
y	12	8	5	3	2

graph (c) and graph (d)

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Which of the following questions is one of the "Two Big Economic Questions"?

Do fair shares promote the social interest or the self-interest?

Do market economies promote the social interest?

Do choices made in the self-interest also serve the social interest?

Can resources be used efficiently and in the social interest?

Is it possible to make someone better off without making someone else worse off?

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