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1) The difference between a good and a service is that a

Economics

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1) The difference between a good and a service is that

a. a good helps satisfy unlimited wants: a service does not

b. a service helps satisfy unlimited wants: a good does not

c. a services is available in unlimited quantities: a good is not

d. a good is available in unlimited quantities: a service is not

e. a good is tangible: a service is not

2. The expression "There's no such thing as a free lunch" means

a. that even if the lunch is free, we pay for it in extra calories

b. that resources used up in producing the lunch are not available to satisfy other wants

c. the same thing as "The best things in life are free"

d. you can eat only if you work first

e. neither sea water nor air is free

3. The labor market is an example of a

a. government market

b. classified market

c. communication market

d. resource market

e. product market

4. The assumption that individuals act rationally implies that

a. people think only of themselves and disregard the well-being of others

b. people undertake all those activities that yield benefits to themselves

c. people only consider the costs of an activity to decide whether it is worthwhile

d. the greater the cost of a charitable deed to a benefactor, the more likely he or she is to perform that deed

e. people implicitly calculate the costs and benefits of an activity to decide if it is worthwhile

5. To say that people make marginal decisions means that

a. they usually wait until the last minute before making a decision to buy

b. they weigh the additional costs and additional benefits of various activities before they make a decision

c. most people just barely get by on the incomes they earn and live from day to day on the very edge of subsistence

d. given a choice, most people would prefer to make their own decisions concerning the things that affect their lives

e. they consider the total cost and benefit of various activities before they make a purchase

6. Which of the following is a microeconomic topic?

a. the job search behavior of a college graduate

b. the impact of policy on the unemployment rate

c. the impact of policy on the inflation rate

d. the national debt

e. the balance of payments