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ECON 202 OLE MISS HAYES MIDTERM NEWEST 2026
ACTUAL VERIFIED EXAM WITH COMPLETE
QUESTIONS AND CORRECT DETAILED ANSWERS
(100% VERIFIED ANSWERS) |ALREADY GRADED A+|
||NEWEST EXAM!!!||
Economic resources are also called
A. free gifts of nature.
B. consumption goods.
C. units of money capital.
D. factors of production. - Answer-factors of production
A production possibilities curve illustrates
A. scarcity.
B. market prices.
C. consumer preferences.
D. the distribution of income. - Answer-scarcity
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The negative slope of the production possibilities curve is
a graphical way of indicating that
A. any economy "can have its cake and eat it too."
B. to produce more of one product, we must do with less
of another.
C. the principle of increasing opportunity costs applies to
only parts of the economy.
D. consumers buy more when prices are low than when
prices are high. - Answer-to produce more of one product,
we must do with less of another
If an economy is operating inside its production
possibilities curve for consumer goods and capital goods,
it
A. can only produce more consumer goods by producing
fewer capital goods.
B. can only produce more capital goods by producing
fewer consumer goods.
C. can produce more of both consumer goods and capital
goods by using resources that are currently idle.
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D. must improve its technology to produce more output. -
Answer-can produce more of both consumer goods and
capital goods by using resources that are currently idle
Broadly defined, competition involves
A. private property and freedom of expression.
B. independently acting buyers and sellers and freedom to
enter or leave markets.
C. increasing opportunity costs and diminishing marginal
utility.
D. capital goods and division of labor. - Answer-
independently acting buyers and sellers and freedom to
enter or leave markets
The law of demand states that, other things equal,
A. price and quantity demanded are inversely related.
B. the larger the number of buyers in a market, the lower
will be product price.
C. price and quantity demanded are directly related.
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D. consumers will buy more of a product at high prices
than at low prices. - Answer-price and quantity demanded
are inversely related
An increase in quantity supplied might be caused by an
increase in production costs.
True/False - Answer-false
A government tax per unit of output reduces supply.
True/False - Answer-true
An increase in consumer incomes will cause a decrease in
the demand for an inferior good.
True/False - Answer-true
Two goods are considered to be related goods by many
buyers: if the price of one increases, buyers buy more of
the other. This indicates that the two goods are
complements.
ECON 202 OLE MISS HAYES MIDTERM NEWEST 2026
ACTUAL VERIFIED EXAM WITH COMPLETE
QUESTIONS AND CORRECT DETAILED ANSWERS
(100% VERIFIED ANSWERS) |ALREADY GRADED A+|
||NEWEST EXAM!!!||
Economic resources are also called
A. free gifts of nature.
B. consumption goods.
C. units of money capital.
D. factors of production. - Answer-factors of production
A production possibilities curve illustrates
A. scarcity.
B. market prices.
C. consumer preferences.
D. the distribution of income. - Answer-scarcity
,2|Page
The negative slope of the production possibilities curve is
a graphical way of indicating that
A. any economy "can have its cake and eat it too."
B. to produce more of one product, we must do with less
of another.
C. the principle of increasing opportunity costs applies to
only parts of the economy.
D. consumers buy more when prices are low than when
prices are high. - Answer-to produce more of one product,
we must do with less of another
If an economy is operating inside its production
possibilities curve for consumer goods and capital goods,
it
A. can only produce more consumer goods by producing
fewer capital goods.
B. can only produce more capital goods by producing
fewer consumer goods.
C. can produce more of both consumer goods and capital
goods by using resources that are currently idle.
,3|Page
D. must improve its technology to produce more output. -
Answer-can produce more of both consumer goods and
capital goods by using resources that are currently idle
Broadly defined, competition involves
A. private property and freedom of expression.
B. independently acting buyers and sellers and freedom to
enter or leave markets.
C. increasing opportunity costs and diminishing marginal
utility.
D. capital goods and division of labor. - Answer-
independently acting buyers and sellers and freedom to
enter or leave markets
The law of demand states that, other things equal,
A. price and quantity demanded are inversely related.
B. the larger the number of buyers in a market, the lower
will be product price.
C. price and quantity demanded are directly related.
, 4|Page
D. consumers will buy more of a product at high prices
than at low prices. - Answer-price and quantity demanded
are inversely related
An increase in quantity supplied might be caused by an
increase in production costs.
True/False - Answer-false
A government tax per unit of output reduces supply.
True/False - Answer-true
An increase in consumer incomes will cause a decrease in
the demand for an inferior good.
True/False - Answer-true
Two goods are considered to be related goods by many
buyers: if the price of one increases, buyers buy more of
the other. This indicates that the two goods are
complements.
