WGU EKO1 D256 | Critical Thinking Reason and
Evidence | PA and OA | Explore New 124 Questions
and Answers | 2025 Update | 100% Correct.
Which questions is answered when a society decides how to distribute its
scarce resources?
What, How, and for whom to produce goods and services
A local government is making public policy decisions about spending funds. The
residents have differing opinions on whether the funds should be used for road
repairs, school expansion, health care increases or construction of a senior
center. The local government must decide the priority.
Which economic question is this decision an example of?
What to produce
A newspaper is trying to help citizens understand economic principle
Which misconception should the article address?
Increasing the money supply raises the standard of living for consumers in the
long run
Which scenario covers a topic included in microeconomics?
As a result of hard freeze, the price of cherries increase
What accurately characterizes capital?
It can be in the form of intellectual discoveries
Why is the circular flow model used?
To describe the interaction of businesses and households in markets
What is the result of increasing opportunity costs?
to produce more of one good, the economy gives up more and more of other
goods
, How would a production possibility frontier be drawn for an economy that
produces two goods with homogeneous resources?
As a constant slope, downward from left to right
A company is operating at a point insides its production possibility frontier.
Which conclusion is accurate about this company?
Resources of the company are being inefficiently utilized
A county produces two goods (A and B) and currently operates on the bowed
out production possibilities frontier.
What is the relationship between productions of Good A and Good B?
IF production of Good A increases, then production of Good B will decrease
A local farm grows apples and oranges. Production Possibilities for this farm
are provided in the following figure:
Assume that this farm operates at option B:
What happens to the production of apples and oranges if the farm decides to
move to option D?
Production of apples will decrease by 50 pounds and production of oranges
will decrease by 45 pounds.
A group of roommates decides to buy pizza together. The table below shows
the quantity of pizza demanded at different price levels:
Demand for pizza after a drop in Price
Price of Pizza Quantity demanded
$0.50 20
$0.75 15
$1.00 10
$1.25 5
Evidence | PA and OA | Explore New 124 Questions
and Answers | 2025 Update | 100% Correct.
Which questions is answered when a society decides how to distribute its
scarce resources?
What, How, and for whom to produce goods and services
A local government is making public policy decisions about spending funds. The
residents have differing opinions on whether the funds should be used for road
repairs, school expansion, health care increases or construction of a senior
center. The local government must decide the priority.
Which economic question is this decision an example of?
What to produce
A newspaper is trying to help citizens understand economic principle
Which misconception should the article address?
Increasing the money supply raises the standard of living for consumers in the
long run
Which scenario covers a topic included in microeconomics?
As a result of hard freeze, the price of cherries increase
What accurately characterizes capital?
It can be in the form of intellectual discoveries
Why is the circular flow model used?
To describe the interaction of businesses and households in markets
What is the result of increasing opportunity costs?
to produce more of one good, the economy gives up more and more of other
goods
, How would a production possibility frontier be drawn for an economy that
produces two goods with homogeneous resources?
As a constant slope, downward from left to right
A company is operating at a point insides its production possibility frontier.
Which conclusion is accurate about this company?
Resources of the company are being inefficiently utilized
A county produces two goods (A and B) and currently operates on the bowed
out production possibilities frontier.
What is the relationship between productions of Good A and Good B?
IF production of Good A increases, then production of Good B will decrease
A local farm grows apples and oranges. Production Possibilities for this farm
are provided in the following figure:
Assume that this farm operates at option B:
What happens to the production of apples and oranges if the farm decides to
move to option D?
Production of apples will decrease by 50 pounds and production of oranges
will decrease by 45 pounds.
A group of roommates decides to buy pizza together. The table below shows
the quantity of pizza demanded at different price levels:
Demand for pizza after a drop in Price
Price of Pizza Quantity demanded
$0.50 20
$0.75 15
$1.00 10
$1.25 5
