C2:worksheet

Front 1

Which of the following is NOT one of the three fundamental economic questions

Back 1

What happens when you add to or subtract from a current situation

Front 2

Which fundamental economic question requires society to choose the technological and resource mix used to produce goods

Back 2

The HOW to produce question

Front 3

Opportunity cost

Back 3

Represents the best alternative sacrifice for a chosen alternative

Front 4

Which of the following sayings BEST reflects the concept of opportunity cost

Back 4

"There is no such thing as a free lunch"

Front 5

In the context of the production possibilities curve, opportunity cost is measured in

Back 5

The quantity of other goods given up

Front 6

Nikki decides to work five hours the night before her economics exam. She earns an extra $75, but her exam score is 10 points lower than it would have been had she stayed home and studied. Her opportunity cost is the

Back 6

10 points she lost on her exam

Front 7

The opportunity cost of your college education is

Back 7

Your best alternative use of the money you spend for a college education
Money you could have earned working instead of going to college

Front 8

The production possibility curve is bowed outward from the origin because of

Back 8

The law do increasing g opportunity costs

Front 9

If an economy producing at full employment, it means that

Back 9

The economy is producing along its production possibilities curve

Front 10

All points on the production possibilities curve are

Back 10

Efficient

Front 11

Over time, an increase in a nation's stock of physical capital will

Back 11

Shift the production possibilities curve outward

Front 12

A source of economic growth is

Back 12

Great entreneuership

Front 13

With time, which one of the following strategies would MOST likely result in an outward shift in the production possibilities curve of an economy

Back 13

Instituting a tax policy encouraging investment at the expense of investment

Front 14

A nation can accelerate its economic growth by

Back 14

Adding all its stock of capital

Front 15

The law of increasing costs indicates that the opportunity cost of producing a good

Back 15

Increases as more of the good. Is produced

Front 16

In economics, the term marginal refers to

Back 16

The change from a current situation

Front 17

Just before class Jim tells Stuart, "Stuart, you shouldn't skip class today because you paid tuition to enroll in the class." Stuart ignores Jim's advice, and instead makes the decision of weather to attend based o. The importance to his grade that he feels he'd be missing that day in class relative to his value of its extra time he could have to finish the video game he is playing. To an economist, Stuart is

Back 17

Using marginal analysis

Front 18

According to marginal analysis, you should spend more time studying economics if the extra benefit from an additional hour study

Back 18

Outweighs the extra cost

Front 19

Which of the following is true of the production possibilities curve

Back 19

It assumes a fixed level if technology
It assumes resources are fixed
It assumes resources are fully employed

Front 20

A point outside the production possibilities curve represents a combination of goods that is

Back 20

Unattainable

Front 21

Which of the following would be LEAST likely to cause the production possibilities curve to shift outward?

Back 21

A shift in consumer preferences that causes expansion in the output of one product and a decline in output of other products.

Front 22

An efficient economy

Back 22

Uses available resources fully
Uses the best division of labor
Produces an output combination at some point along the production possibility curve