Econ 2120 clEmson Exam 1 2026 updatE QuEstIons WItH
dEtaIlEd VERIFIEd ansWERs (100% coRREct ansWERs)
/alREadY GRadEd
Scarcity exists because - ansWER-human wants exceed the resources available to satisfy them.
Because human wants are insatiable and unlimited while available resources are limited, people are said
to face the problem of - ansWER-scarcity.
The study of economics is best described as a study of - ansWER-coping with scarcity, and choices
made as a result of scarcity in a society.
Which of the following BEST describes macroeconomics? - ansWER-it analyzes the aggregate effects
on the national economy of the choices made by individuals, firms, and governments.
Self interest - ansWER-eflects choices that are best for the individual who makes them.
To economists, scarcity means that - ansWER-unlimited wants cannot be satisfied by the limited
resources.
When a landscaping company decides to use drafting software and computers instead of hiring designers
to draw design plans by hand, it is answering the ________ question. - ansWER-how
What is NOT true about rational choice? - ansWER-It is the same for all individuals.
, In economics, cost is measured as ________, and benefit is measured as ________. - ansWER-what
you must give up to get something; what you are willing to give up to get it
If Jessie studies economics for two hours instead of going to the movies with her friends, then -
ansWER-the opportunity cost of studying is the missed movie.
The cost of a one-unit increase in an activity is called the - ansWER-marginal cost.
A professor changes the penalty for cheating on exams from getting a 0 on the exam to getting an F in
the course. The professor has - ansWER-increased the marginal cost of cheating.
The figure above shows the production possibilities frontier for a country. If the country is producing at
point D, then the - ansWER-resources are not being used efficiently and/or are unemployed.
The above figure shows the production possibility frontier for an economy. The point or points that are
attainable are - ansWER-points A, B, C, and D.
The negative slope of the production possibilities frontier represents the idea - ansWER-of tradeoffs, that
in order to produce more of one good, the nation must produce less of another.
A free lunch (the absence of a tradeoff) when the production of a good is increased is possible for the
entire economy only if - ansWER-resources are used inefficiently.
In a production possibilities frontier graph, the cost of producing more units of a good is measured by the
- ansWER-amount of the other good or service that must be forgone.
dEtaIlEd VERIFIEd ansWERs (100% coRREct ansWERs)
/alREadY GRadEd
Scarcity exists because - ansWER-human wants exceed the resources available to satisfy them.
Because human wants are insatiable and unlimited while available resources are limited, people are said
to face the problem of - ansWER-scarcity.
The study of economics is best described as a study of - ansWER-coping with scarcity, and choices
made as a result of scarcity in a society.
Which of the following BEST describes macroeconomics? - ansWER-it analyzes the aggregate effects
on the national economy of the choices made by individuals, firms, and governments.
Self interest - ansWER-eflects choices that are best for the individual who makes them.
To economists, scarcity means that - ansWER-unlimited wants cannot be satisfied by the limited
resources.
When a landscaping company decides to use drafting software and computers instead of hiring designers
to draw design plans by hand, it is answering the ________ question. - ansWER-how
What is NOT true about rational choice? - ansWER-It is the same for all individuals.
, In economics, cost is measured as ________, and benefit is measured as ________. - ansWER-what
you must give up to get something; what you are willing to give up to get it
If Jessie studies economics for two hours instead of going to the movies with her friends, then -
ansWER-the opportunity cost of studying is the missed movie.
The cost of a one-unit increase in an activity is called the - ansWER-marginal cost.
A professor changes the penalty for cheating on exams from getting a 0 on the exam to getting an F in
the course. The professor has - ansWER-increased the marginal cost of cheating.
The figure above shows the production possibilities frontier for a country. If the country is producing at
point D, then the - ansWER-resources are not being used efficiently and/or are unemployed.
The above figure shows the production possibility frontier for an economy. The point or points that are
attainable are - ansWER-points A, B, C, and D.
The negative slope of the production possibilities frontier represents the idea - ansWER-of tradeoffs, that
in order to produce more of one good, the nation must produce less of another.
A free lunch (the absence of a tradeoff) when the production of a good is increased is possible for the
entire economy only if - ansWER-resources are used inefficiently.
In a production possibilities frontier graph, the cost of producing more units of a good is measured by the
- ansWER-amount of the other good or service that must be forgone.
