Seçmeli Ara Sınav - Introduction to Economics 1

Soru 1:

Which of the followings is the definition of price floor?

A) The difference between price and cost to the sellers B) The legal maximum price for a good or service C) The difference between price and cost to the consumers D) The legal minimum price for a good or service E) The measure of the response of quantity supplied of a good to a change in price

Soru 2:

According to economic theory trade in general and also international trade is what kind of game?

A) Is a win-loose game B) Is a zero-sum game C) Is a positive-sum game D) Is a loose-loose game E) Domestic trade is a positive-sum, but the international one is a zero-sum game.

Soru 3:

What is the term used to refer to the measure of how much the quantity demanded of one good responds to a change in the price of another good?

A) income elasticity of demand B) the law of demand C) cross-price elasticity of demand D) the price elasticity of demand E) price elasticity of supply

Soru 4:

Which of the following helps us to understand the combinations of output that a society can possibly produce using the available production technology and the given amount of inputs?

A) Demand function B) Production possibility frontier C) Supply function D) Inverse demand function E) Inverse supply funciton

Soru 5:

Which statement below is not correct for a determinant of price elasticity of demand?

A) Price elasticity depends on availability of close substitutes to the consumers. B) Price elasticity is determined by whether the good is a necessity or a luxury for the consumers C) A factor that affects the price elasticity is the share (weight) of a good’s cost in the consumers’ budget. D) Another factor that influence the price elasticity is the wealth of the consumers. E) Finally pirce elasticity is contingent on the time horizon.

Soru 6:

What is computed as the price of a good times the quantity sold?

A) Total revenue B) Demand Curve C) Supply Chain D) Price Elasticity E) Mid-point Approach

Soru 7:

Which assumption of the preferences is violated if indifference curves cross eachother?

A) More is better B) Continuity C) Transitivity D) Less is better E) Rationality

Soru 8:

Which of the following is the definiton for price elasticity of supply?

A) the responsivesness of quantity supplied to changes in demand B) the responsiveness of quantity supplied of a good to a change in price C) the responsiveness of demand to income changes. D) the responsiveness of demand to changes in price E) the responsiveness of quantity demanded to supply

Soru 9:

Given the limited budget, the consumers choose a combination of goods that will maximize the satisfaction they can achieve. Which of the following statements correctly represent the maximizing market basket that must satisfy the two conditions?

A) satisfaction is maximized when the marginal rate of substitution (of good X and Y) is bigger than the ratio of the prices (of X and Y). B) satisfaction is maximized when the marginal rate of substitution (of good X and Y) is smaller than the ratio of the prices (of X and Y). C) satisfaction is maximized when the marginal rate of substitution (of good X and Y) is equal to the ratio of the prices (of X and Y). D) satisfaction is maximized when the marginal rate of substitution (of good X and Y) is equal to zero. E) satisfaction is maximized when the ratio of the prices (of X and Y) is equal to 1.

Soru 10:

"The law of demand indicates that......." Which of the following most appropriately comletes the statement above?

A) when the price of a good decreases, the quality of that prodıuct decreases B) when the price of a good increases, the demand for the production of that good decreases C) when the price of a good decreases, the quality of that good increases accordingly D) when the price of a good increases, the quantity demanded of that good decreases E) when the price of a good increases, the quantity demanded for thatgood also increases

Soru 11:

Which of the following correctly explains the slope of the budget constraint and its meaning?

A) The slope equals the relative price of the twogoods,which is equal to the negative of price ratios, Px/Py, that is the price of one good compared to the price of the other. B) The slope equals the relative prices of allgoods that the consumer consumes. C) The slope equals the relative price of the twogoods,which is equal to the positive of price ratios, Px/Py. D) The slope equals to 1 all the time. E) The slope equals the relative price of the twogoods,which is equal to the elasticity all the time.

Soru 12:

Which of the following rates indicate what lenders get in return on funds they lend to borrowers?

A) Inflation rate B) Growth rate C) Interest rate D) Exchange rate E) Unemployment rate

Soru 13:

In which of the following situations is there a change in demand in question?

A) Mostly buying high fashion brands. B) Mostly eating out in luxury restaurants. C) Mostly buying flowers on the Valentine's day. D) Mostly preferring air travel instead of bus travel. E) Mostly going to a cinema instead of watching a movie at home.

Soru 14:

Given the price and quantity for two points on the supply curve at the table below, calculate the price elasticity of supply. Which of the below is the closest value to the price elasticity you have calculated?

A) 0.00 B) 0.05 C) 1.05 D) 0.20 E) 1.25

Soru 15:

What is the difference between the maximum amount a person is willing to pay for a good and the market price?

A) Producer surplus B) Consumer surplus C) Market efficiency D) Total surplus E) Tax incidence

Soru 16:

How is price elasticity calculated?

A) As the percentage change in the quantity plus the percentage change in price B) As the percentage change in the quantity multiplied by the percentage change in price C) As the percentage change in the quantity divided by the percentage change in price D) As the percentage change in the quantity minus the percentage change in price E) As the percentage change in the quantity and the percentage change in price

Soru 17:

A new coal-fired thermal power plant is planned to be built in Alpu district of Eskişehir. However, both city-dwellers and farmers are concerned about the damage that this plant will cause to the city’s air, water, agriculture, tourism, and meerschaum production. What are these effects of this power plant to nature and life are called in economics?

A) A zero-sum game B) Market failure C) Market power D) Negative externality E) External benefits

Soru 18:

when did the Turkish Central Bank drop 6 zeros from the currency ?

A) 1990 B) 2001 C) 2005 D) 2008 E) 2009

Soru 19:

Which of the following is not one of the factors that the price elasticity of demand for a good or service depends on?

A) Whether close substitutes are available B) If the good is necessity or luxury for the consumer C) The share of the good’s cost in the consumers’ budget D) The time period. E) Technological dependence

Soru 20:

What is the ability of a single actor to control or substantially influence market prices called?

A) Market power B) Equitable Distribution C) Market Failure D) Zero-sum Game E) Discrepancy in Income