Pepperdine Economics Sample Test 1

Front 1

F. Punt: Does he really want me to answer this?

Back 1

“It’s raining outside my window here in Washington”, said Mr. Gore.
“It must be raining back home in Tennessee.” This is an example of

A. Democratic Idealism
B. Fear and Loathing on the Potomac C. Bad Meteorology
D. Inductive Logic gone wrong
E. Deductive Logic gone syllogistic
F. Punt: Does he really want me to answer this?

Front 2

E. All of the above

Back 2

President Carter said, “That may be good in theory, but it doesn’t hold water in the real world.” Mr. Carter is A. A Democrat
B. Unclear on the concept
C. A former Peanut farmer D. A victim of lust in his heart
E. All of the above

Front 3

Predict

Back 3

What should a theory do well?

Front 4

Inductive

Back 4

The Fallacy of Composition occurs with what type of Logic?

Front 5

Necessary

Back 5

It is an essential requirement for a specific outcome. (__________Condition)

Front 6

Scarce

Back 6

Economic Goods are __________________ while Free Goods are not

Front 7

Economy

Back 7

Minimizing inputs with a given level of output is called what?

Front 8

Dynamic

Back 8

A time series analysis of all significant variables is called?

Front 9

TC

Back 9

Marginal Cost is the slope of?

Front 10

Opportunity Cost

Back 10

What you would have gotten in the best thing you did not do is called?

Front 11

True

Back 11

A lawyer prepares a contract for his client in August 1998.
This action is properly accounted for in 97-98 GNP. (True or False?)

Front 12

Money

Back 12

What is the economist’s word for Money?

Front 13

PPC

Back 13

What is a Frontier line of maximum output capabilities that may be achieved when all available factors of production are being fully employed at their highest and
best use called?

Front 14

Product

Back 14

Output is called what?

Front 15

A factor of Production

Back 15

Economic Rent is a payment to what?

Front 16

Land & Labor

Back 16

What are the Primary factors?

Front 17

Capital

Back 17

What is the secondary factor?

Front 18

External Diseconomy

Back 18

A factory that emits pollution into a neighboring stream as a by-product of its production is creating a what?

Front 19

Scarcity

Back 19

Marxism is distribution according to need, meritocracy is distribution according to?

Front 20

E. The Ocean

Back 20

A weight decreasing industry would tend to operate near A. Overweight people
B. The Point of Sale
C. Canada, eh
D. Raw Materials
E. The Ocean

Front 21

Confucius

Back 21

First person to profess the Golden Rule?

Front 22

Mencius

Back 22

First person to develop the concept of Division of Labor?

Front 23

Plato

Back 23

Who proposed the ideal communistic state in The Republic?

Front 24

Aristotle

Back 24

Who thought the Lyceum had a better football team than the Academy?

Front 25

St. Thomas Aquinas

Back 25

This Dominican Monk and School Man was the author of Summa Theologica

Front 26

Mun

Back 26

I’m a Bullionist in England, who is my ideological leader?

Front 27

Colbert

Back 27

My French mercantilist friends would look up to who?

Front 28

False

Back 28

A Mercantilist would support NAFTA. (True or False?)(North American Free Trade Agreement)

Front 29

Quesnay

Back 29

He was Madame de Pompadour’s physician and father of the Physiocrats.

Front 30

Hume

Back 30

Who first proposed that wealth did not come from gold?

Front 31

Smith

Back 31

Who set out to prove him wrong only to prove him right?

Front 32

Wealth of Nations

Back 32

Mr. Smith hung his ornaments on the Christmas Tree of Laissez Faire in what 1776 published inquiry?

Front 33

Physiocrats

Back 33

From what school of thought did Smith borrow the term Laissez Faire?

Front 34

Malthus

Back 34

Who explained that when equal amounts of a variable input are
successively added to a fixed input, the MPP will eventually diminish due to unbalanced growth.

Front 35

Decreasing returns to scale

Back 35

Describe the productivity when proportional increases in inputs correspond to an output increase from 100 to 150 to 175.

Front 36

False

Back 36

A business should always operate at the point of Diminishing Returns.
(True or False?)

Front 37

Geometric

Back 37

What kind of progression is represented by the following series of numbers: 1-2-4-8-16-32-64-128-256-512-1024-2048-4096?

Front 38

False

Back 38

Malthus was an optimist. (True or False?)

Front 39

Labor

Back 39

According to David Ricardo what factor is the source of all value?

Front 40

False

Back 40

David Ricardo was a proponent of import tariffs. (True or False?)

Front 41

Landowner

Back 41

Ricardo thought surplus value was captured by who?

Front 42

False

Back 42

Ricardo like Marx was a student of Business Cycles. (True or False?)

Front 43

Mill

Back 43

Who was the prized pupil of Jeremy Bentham?

Front 44

Capitalist

Back 44

Marx thought surplus value was captured by who?

Front 45

Dialectical Materialism

Back 45

Marx borrowed heavily from Plato and Hegel in developing what system of historical review?

Front 46

Free Trade

Back 46

What was the universal tenet of the Classical Economists?

Front 47

Ricardians

Back 47

What were the Classical Economists also known as?

Front 48

Walras

Back 48

Who wrote the General Theory of Equilibrium and was one of the three men responsible for developing the concept of MU?

Front 49

Marshall

Back 49

Of paper, rock, scissors, who preferred scissors to explain Supply & Demand

Front 50

Marshallian

Back 50

The Neo-Classical economists are also known as?

Front 51

Marshall

Back 51

Created the term Widget to describe an undefined Good or Service?

Front 52

Edgeworth

Back 52

Who developed the Indifference Curve to measure ordinal utility?

Front 53

Schumpeter

Back 53

Who blamed business cycles on discontinuous entrepreneurship?

Front 54

Keynes

Back 54

Who is responsible for developing the Keynesian Cross?

Front 55

Hayek

Back 55

Who wrote the “Road to Serfdom”?

Front 56

Utility

Back 56

Demand is a function of?

Front 57

MV=PQ

Back 57

The Hume-Fisher equation of exchange is written out as?

Front 58

Factorial

Back 58

An ! after an integer is called a?

Front 59

2

Back 59

How many factors are in the following expression: 16x (to the 5th)

Front 60

How many terms are in the following expression [NEED GRAPHIC]

Back 60

3

Front 61

Ordinate

Back 61

A value measured on the y axis is called an?

Front 62

(0,0)

Back 62

What is the coordinate for the origin?

Front 63

Tangent

Back 63

If two lines on a graph touch, but do not cross, they are said to be what?

Front 64

Asymptotic

Back 64

If two approaching lines on a graph get closer and closer, but do not touch, they are said to be what?

Front 65

Vector

Back 65

What is a straight line drawn from an initial point called?

Front 66

0

Back 66

A horizontal line has a numerical slope of what?

Front 67

False

Back 67

There is sometimes a single number which represents slope for all points on a curvilinear function. (True or False?)

Front 68

False

Back 68

A minus sign in a slope answer indicates that the function is positively sloped? (True or False?)

Front 69

37

Back 69

Assume y=25x0 – 48x-2 + 3x3. Find y when x = 2
[NEED GRAPHIC]

Front 70

Infinity (negative exponent causes you to have to divide by zero).

Back 70

Assume y=25x0 – 48x-2 + 3x3. Find y when x = 0 (Be careful!)