1. Questions # 1.1 (4 pts.) The direct exchange of goods for goods is: A. Barter - 88181

Solution Posted by
Mastertutor

Mastertutor

Rating : No Rating
Solution Detail
Price: $2.99
Request Description
1. Questions # 1.1 (4 pts.) The direct exchange of goods for goods is: A. Barter B. The circular flow C. The invisible hand D. Roundabout production # 1.2 (4 pts.) Which statement best describes a capitalist economy? A. The production of goods and services is determined primarily by markets, but the allocation of goods and services is determined primarily by government B. The production of goods and services is determined primarily by government, but the allocation of goods and services is determined primarily by markets C. The production and allocation of goods and services is determined primarily through markets D. The production and allocation of goods and services is determined primarily through government # 1.3 (4 pts.) The influential book written by Adam Smith was: A. The Worldly Philosophers B. The Affluent Society C. The Age of the Economist D. The Wealth of Nations # 1.6 (4 pts.) The term consumer sovereignty means that: A. Consumers are controlled by the actions of the marketplace B. What is produced is ultimately determined by what consumers buy C. There are no limits on what consumers may buy under capitalism D. Businesses produce with consumer satisfaction as their primary goal # 1.7 (4 pts.) The maximization of profit and the minimization of losses is the primary factor affecting the economic decision making of: A. Workers B. Consumers C. Public officials D. Entrepreneurs # 1.8 (4 pts.) A prerequisite of specialization is: A. A capitalistic economic system B. A medium of exchange C. Free enterprise D. Competition # 1.11 (4 pts.) In a circular flow model consisting of the household sector, the business sector, product markets, and resource markets: A. Households are sellers of products B. Businesses are sellers of products C. Households are buyers of productive resources D. Resource markets are sellers of products # 1.19 (4 pts.) The development of CDs and DVD that significantly reduced the market for cassette tapes. This would be an example of: A. Specialization B. Derived demand C. Roundabout production D. Creative destruction
Solution Description
Attachments
Macroeconomics_test_ANSWERS.doc
Macroeconomics_...