The final exam is cumulative but with greater emphasis on the last half of the class. The following quiz only cover the materials after the midterm exam. However, please try both quizzes when studying for the final.
Go to: Midtrem I
Economics (ECON 201-UCAL) Final Exam
Congratulations - you have completed Economics (ECON 201-UCAL) Final Exam.
You scored %%SCORE%% out of %%TOTAL%%. With incorrect multiple attempts your score is %%PERCENTAGE%%
Your performance has been rated as %%RATING%%
Question 1 |
A | Study of how consumers behave to changes in income and price of commodities. |
B | It explains the supply curve according to the changes in quantity demanded. |
C | It is a theory that explains how consumers interact with the producers in market economy. |
D | It explains the Supply and Demand according to macroeconomic level. |
Question 2 |
A | Two items in analysis makes the consumer equally happy. |
B | Utility is ordinarily measurable. |
C | Indifference between bundles may exists. |
D | At each point, less of on item is preferred over the other. |
Question 3 |
A | $55,000 |
B | $40,000 |
C | $50,000 |
D | $15,000 |
55,000 = TFC + 40,000
TFC = 15,000
Question 4 |
A | $100 |
B | $80 |
C | $110 |
D | $55 |
Question 5 |
A | II |
B | I |
C | IV |
D | III |
E | It is not shown on the given graph. |
Question 6 |
A | I |
B | It is not shown on the given graph. |
C | II |
D | IV |
E | III |
Question 7 |
A | Marginal Costs |
B | Average Fixed Cost |
C | Average Variable Cost |
D | Budget Line |
E | Average Total Cost |
Question 8 |
A | III |
B | It is not shown on the given graph. |
C | II |
D | I |
E | IV |
Question 9 |
A | Consumers always prefer one item more than than the other at any given point on the indifference curve. |
B | Consumers always prefer higher indifference curves than the lower ones. |
C | Indifference curves are do NOT always reach the origin (x,y,=0) but always has a linear relationship to between two items. |
D | Indifference curves are upwards sloping. |
E | Indifference curves are both upwards and downwards sloping. |
Question 10 |
A | ...the rate at which a consumer can substitute one good for another to increase consumer surplus. |
B | ...the rate of new products introduced to the market to replace another. |
C | ...the quantity of products available for substitution. |
D | ...the rate at which a producer can substitute one good for another to increase profits. |
E | ...the slope at any point on a given indifference curve. |
Question 11 |
A | Highly curved and bowed outwards (away from the origin). |
B | More horizontal and linear towards one end. |
C | Highly curved and bowed inwards (towards the origin). |
D | Straight line or less bowed curve. |
Question 12 |
A | False; it moves up. |
B | False; it starts to curve towards the origin. |
C | False; it moves to the right. |
D | True. |
Question 13 |
A | False because MC crosses ATC at the rising point of MC. |
B | True |
C | False because MC crosses ATC at the maximum point. |
D | False because MC never crosses ATC. |
Question 14 |
A | It is the total average cost divided by the quantity produced. |
B | It is the total revenue minus the total marginal cost. |
C | It is the total revenue minus the total capital. |
D | It is the total revenue minus the total average cost. |
E | It is the total revenue minus the total cost. |
Question 15 |
A | It is the total of both fixed costs and variable costs divided by the quantity of the good produced. |
B | It describes the quantity of output that minimizes the average total cost. |
C | It is the the point, above which the average total cost curve start to fall. |
D | It is the total of both fixed costs and variable costs. |
Question 16 |
A | ...the maximum quantity of an item a consumer can afford at a given price. |
B | ...the increase in output that raises from an additional unit of input. |
C | ...the difference between what a producer can afford to produce and the market demand for the good. |
D | ...the increase in input to have an additional unit of output. |
Question 17 |
A | ...a firm cannot produce additional units of an item regardless of the increase in input. |
B | ...a firm uses diversification of products to reduce economic loss. |
C | ...the long run total cost stays the same as the quantity of input changes. |
D | ...it is no longer suitable for a firm to integration to take control over the entire production process. |
E | ...the long run average cost stays the same as the quantity of input changes. |
Question 18 |
A | A straight line perfectly parallel to the y-axis. |
B | A curve that increase its' slope on one side when moving away from the origin. |
C | A curve with a right angle 90-degree bend towards the origin. |
D | A straight line perfectly parallel to the x-axis. |
E | A curve that bends outward away from the origin. |
Question 19 |
You buy a movie ticket for $15. However, you lose the ticket. On the day of the screening, you can buy another ticket for $20. Assuming you brought the new ticket, what statement best describe the situation?
A | The total opportunity cost of the movie is $20. |
B | The decision to buy the second ticket was a mistake. |
C | The $5 additional you paid is a consumer surplus. |
D | The $15 lost on the original ticket is a sunk cost. |
Question 20 |
A | True |
B | False |
Question 21 |
A | ...a variable cost. |
B | ...an explicit cost. |
C | ...a fixed cost. |
D | ...an accounting cost. |
E | ...an implicit cost. |
Question 22 |
A | Short term investments. |
B | Labor specialization. |
C | Decrease in taxes. |
D | Increase in investments. |
Question 23 |
A | ...the Return to Scale Average Cost curve decreases and the long-run Average Total Cost rises as input increases. |
B | ...the Return to Scale Average Cost curve decreases and the long-run Average Total Cost falls as input increases. |
C | ...the Return to Scale Average Cost curve increases and the long-run Average Total Cost falls as input increases. |
D | ...the Return to Scale Average Cost curve increases and the long-run Average Total Cost rises as input increases. |
Question 24 |
A | I. profit rise II. profit fall |
B | I. diseconomies of scale II. economies of scale |
C | I. increased competition II. limited competition |
D | I. economies of scale II. diseconomies of scale |
E | I. profit fall II. profit rise |
F | I. limited competition II. increased competition |
Question 25 |
A | I. left II. right |
B | I. up II. down |
C | I. down II. up |
D | I. right II. left |
Question 26 |
A | ...that we have very large number of very large firms. |
B | ...produce a standardized product. |
C | ...extremely limited or no barriers to entry. |
D | ...all firms are price takers and there are no price setters. |
Question 27 |
A | ...marginal cost is lower than the marginal revenue. |
B | ...marginal cost equals to the marginal revenue. |
C | ...the supply is higher than the demand. |
D | ...marginal cost is higher than the marginal revenue. |
E | ...the demand is higher than the supply. |
Question 28 |
A | It prevents cheating among members of the organization. |
B | Under international laws, collusion is NOT always illegal. |
C | Organizations that promotes collusion could fail a market (lead a market to a failure). |
D | Members of a given collusion group are price setters. |
Question 29 |
A | The firm must have the ability to control all steps of the production process of a product. A firm cannot price discriminate a service. |
B | The market type must be a free unregulated market. |
C | The firm must have a significant market power. |
D | The firm must have a specialized product or service. |
Question 30 |
A | greater than |
B | cannot be answered |
C | smaller than |
D | equal to |
Question 31 |
A | Reduce spending on advertisements and terminate promotional programs. |
B | Improve the quality of product/service. |
C | Increase implicit costs. |
D | Price the product/service at the equilibrium point. |
Question 32 |
A | A travel agency selling the identical travel package to you for cheaper than for your friend who brought it later. |
B | Calgary Transit offering lower ticket price for children compared to higher priced adult tickets. |
C | Cheaper price for last year version of the Economics textbook (new/unused) than the price for the this years' version (new/unused). |
D | Different prices a Geologic Consultation company charging their customers for soil testing. |
Question 33 |
A | ...artificially increasing the price of goods by creating a binding floor price. |
B | ...increasing the tax on the industry. |
C | ...banning the operation of such industries. |
D | ...controlling the industries by selling licenses for releasing harmful chemicals. |
Question 34 |
A | Only produce a standardized product but by different firms. |
B | All firms are price takers in this market. |
C | At least two firms have majority of control in the market. |
D | This type of structure will result in more competitive market than any other type of market structure. |
Question 35 |
A | May or may not be beneficial to the consumer. |
B | True; it will create more competition. |
C | True; it will provide the consumers with more choices. |
D | False; it will reduce the competition because of product specialization. |
Question 36 |
A | ...public good. |
B | ...private good. |
C | ...excludable good. |
D | ...non-excludable good. |
Question 37 |
A | Any point left of the intersection between MB1 and MC1 where MC1 is bellow the MB1. |
B | Not enough data is provided to answer this question because the cost of pollution prevented is not shown. |
C | Any point right of the intersection between MB1 and MC1 where MC1 is above the MB1. |
D | Not enough data is provided to answer this question because the quantity of pollution prevented is not shown. |
E | At the intersection between MB1 and MC1 |
Question 38 |
A | The best intervention point for pollution prevention for the second scenario (MC2, MB2, MC3) is at the intersection occur closer to 80% between MB2 and MC2. |
B | At the optimum intervention point for both scenarios, the first scenario is always the best option because the intersection (MC1-MB1) is lower than the second one. |
C | At the optimum intervention point for both scenarios, the second scenario is always the best option because the intersection (MC2-MB2) prevent higher % of pollution than the first one. |
D | The best intervention point for pollution prevention for the second scenario (MC2, MB2, MC3) is at the intersection occur closer to 0% between MB2 and MC3. Hint: This means 0% of pollution is prevented. No benefit to any party. |
Question 39 |
A | The MC3 curve is a situation where the market will experience a failure. |
B | The MC3 curve is a situation where pollution prevention costs are too high compared to the economic benefits of industries. |
C | The increase in marginal benefits (MB) from MB1 to MB2 most likely cause by a depletion in technological advancements. |
D | The increase in marginal benefits (MB) from MB1 to MB2 most likely cause by an economic collapse. |
Question 40 |
A | ...the price will be content higher and lower quantities are produced. |
B | ...the price will be artificially lower and smaller quantities are produced. |
C | ...the price will be artificially higher and larger quantities are produced. |
D | ...the price will be artificially higher and smaller quantities are produced. |
E | ...the price will be content higher and larger quantities are produced. |
Question 41 |
A | ...subsidize the industry in question. |
B | ...deregulate industry in question. |
C | ...do nothing and wait for the market equilibrium to occur. |
D | ...tax the industry in question. |
Question 42 |
A | A private owned solar energy farm. |
B | A private road an oil company built in Alberta to access a remote location. |
C | A farmhouse build by a farmer to keep his/her livestock. |
D | A Economics textbook written by you. |
E | A groundwater remediation treatment facility near a major city. |
Question 43 |
A | ...will always be lower than the accounting profit. |
B | ...is not very useful measure of how well a firm is performing in the market. |
C | ...is the total revenue minus the explicit cost. |
D | ...will always be equals to the accounting profit if the firm is producing a positive average revenue. |
Question 44 |
A | Pareto Equilibrium |
B | Dominant Strategy Equilibrium |
C | Supply-Demand Equilibrium |
D | Nash Equilibrium |
Question 45 |
A | It is a situation in which a powerful group of companies or a company sets the market price. |
B | It is a situation in which companies compete on the amount of output they will produce. |
C | It is a situation in which one company takes the leadership in the majority quantity of output. |
D | It is a situation in which all firms sets the price at the same time hence creating very high competition. |
E | It is a situation in which a powerful group of companies such as OPEC sets the market price. |
Question 46 |
A | It is a situation in which one company takes the leadership in the majority quantity of output. |
B | It is a situation in which all firms sets the price at the same time hence creating very high competition. |
C | It is a situation in which a powerful group of companies or a company sets the market price. |
D | It is a situation in which one firms takes the leadership in the majority quantity of output. |
E | It is a situation in which a powerful group of companies such as OPEC sets the market price. |
Question 47 |
A | Decision theory |
B | Strategic planning |
C | Game theory |
D | Dependency theory |
Question 48 |
... | Firm 1 | Firm 2 |
I | 70 | 18 |
II | 5 | 18 |
III | 5 | 18 |
IV | 5 | 18 |
V | 5 | 18 |
A | 180 |
B | 90 |
C | 70 |
D | 5 |
Question 49 |
... | Firm 1 | Firm 2 |
I | 70 | 18 |
II | 5 | 18 |
III | 5 | 18 |
IV | 5 | 18 |
V | 5 | 18 |
A | 70 |
B | 90 |
C | 5 |
D | 18 |
Question 50 |
... | Firm 1 | Firm 2 |
I | 70 | 18 |
II | 5 | 18 |
III | 5 | 18 |
IV | 5 | 18 |
V | 5 | 18 |
A | 1620 |
B | 1450 |
C | 4820 |
D | 1820 |
E | 5000 |
Question 51 |
... | Firm 1 | Firm 2 |
I | 70 | 18 |
II | 5 | 18 |
III | 5 | 18 |
IV | 5 | 18 |
V | 5 | 18 |
A | 1450 |
B | 1620 |
C | 1820 |
D | 5000 |
E | 4820 |
Question 52 |
A | False |
B | True |
Question 53 |
A | right |
B | up |
C | down |
D | left |
Question 54 |
A | False |
B | True |
← |
List |
→ |
1 | 2 | 3 | 4 | 5 |
6 | 7 | 8 | 9 | 10 |
11 | 12 | 13 | 14 | 15 |
16 | 17 | 18 | 19 | 20 |
21 | 22 | 23 | 24 | 25 |
26 | 27 | 28 | 29 | 30 |
31 | 32 | 33 | 34 | 35 |
36 | 37 | 38 | 39 | 40 |
41 | 42 | 43 | 44 | 45 |
46 | 47 | 48 | 49 | 50 |
51 | 52 | 53 | 54 | End |
Credits: Based on the excellent class notes provided by, Dr. Ronald Schlenker during Summer 2014.
FAQ | Report an Error
If you get a question wrong, you can still click on the other answers. You have multiple opportunities to select the correct answer. This will open up hints and explanations (if available), which will provide additional information.
You may download this exam as a PDF file here.