Which of the following is a test of the statistical significance of a particular regression coefficient?.
Which of the following is a test of the statistical significance of a particular regressi Show more QUESTION 1 Which of the following is a test of the statistical significance of a particular regression coefficient? t-test R 2 F-test Durbin-Watson test 2 points QUESTION 2 In which of the following situations will total revenue increase? a. Price elasticity of demand is 1.2 and the price of the good decreases. b. Price elasticity of demand is 0.5 and the price of the good increases. c. Price elasticity of demand is 3.0 and the price of the good decreases. d. All of the above are correct. 2 points QUESTION 3 Stage III of the short-run Production Function is the most efficient mix of inputs. the least costly level of output. where additional units of variable inputs will lead to less output. where additional units of variable inputs will lead to more output. 2 points QUESTION 4 Which of the following is not true about the law of diminishing returns? It is a short-run phenomenon. It refers to diminishing marginal product. It will have an impact on the firms marginal cost. It divides Stage I and II of the production process. All of these are true. 2 points QUESTION 5 Which of the following would cause a decrease in the price of a good? an increasing shift in the supply of a good and no shift in demand a decreasing shift in the supply of a good and no shift in demand an increasing shift in the demand for good and no shift in supply an increasing shift in the demand for good and a decreasing shift in supply 2 points QUESTION 6 In the long run a firm is said to be experiencing decreasing returns to scale if a 10 percent increase in inputs results in an increase in output from 100 to 110. a decrease in output from 100 to 90. an increase in output from 100 to 105. a decrease in output from 100 to 85. 2 points QUESTION 7 When purchases of tennis socks decline following an increase in the price of tennis sneakers (other things remaining equal) the relationship between these two items can be described as substitutable. complementary. unique. ordinary. 2 points QUESTION 8 Which of the following will not cause a short-run shift in the supply curve? a change in the number of sellers a change in the cost of resources a change in the price of the product a change in future expectations 2 points QUESTION 9 The elasticity of demand for a product is likely to be greater the smaller the number of substitute products available. the smaller the proportion of ones income spent on the product. the larger the number of substitute products available. if the product is an imported good rather than a domestically produced good. 2 points QUESTION 10 Which of the following is likely to have the most price elastic demand? a. clothing b. blue jeans c. Tommy Hilfiger jeans d. All three would have the same elasticity of demand because they are all related. 2 points QUESTION 11 The cross-price elasticity of demand for coffee and coffee-cream is likely to be greater than zero. less than zero. zero. infinity. 2 points QUESTION 12 The price elasticity of demand measures a. how much more of a good consumers will demand when incomes rise. b. the extent to which demand increases as additional buyers enter the market. c. buyers responsiveness to a change in the price of a good. d. the movement along a supply curve when there is a change in demand. 2 points QUESTION 13 Cross-price elasticity of demand measures how a. strongly normal or inferior a good is. b. the quantity demanded of one good changes in response to a change in the price of another good. c. the quantity demanded of one good changes in response to a change in the quantity demanded of another good. d. the price of one good changes in response to a change in the price of another good. 2 points QUESTION 14 Which of the following would cause a decrease in the demand for fish? The price of red meat increases. The price of fish increases. The price of chicken decreases. The number of fishing boats decreases. 2 points QUESTION 15 The switch to the use of ethanol in gasoline is driven primarily by its relatively lower price. Assuming a competitive market what effect would this change have on the equilibrium price and output for gasoline? Price rises output falls. Price falls output rises. Price rises output rises. Price falls output falls. 2 points QUESTION 16 If a firm finds itself operating in Stage I it implies that variable inputs are extremely expensive. it overinvested in fixed capacity. it underinvested in fixed capacity. fixed inputs are extremely expensive. 2 points QUESTION 17 If the income elasticity of a particular good is negative 0.2 it would be considered a superior good. a normal good. an inferior good. an elastic good. 2 points QUESTION 18 A fall in the price of pesticide use in the production of cotton will decrease the supply of cotton causing the supply curve of cotton to shift to the left. increase the supply of cotton causing the supply curve of cotton to shift to the left. cause a downward movement along the supply curve of cotton. have no effect on the supply of cotton. None of these 2 points QUESTION 19 In the long run if there is a shortage in the market for a product the guiding (allocation) function of price can be expected to cause an increasing shift in the demand for the product. a decreasing shift in the demand for the product. an increasing shift in the supply of the product. a decreasing shift in the supply of the product. 2 points QUESTION 20 When the R 2 of a regression equation is very high it indicates that all the coefficients are statistically significant. the intercept term has no economic meaning. a high proportion of the variation in the dependent variable can be accounted for by the variation in the independent variables. there is a good chance of serial correlation and so the equation must be discarded. 2 points QUESTION 21 If the price elasticity of demand for a good is 4.0 then a 10 percent increase in price results in a a. 0.4 percent decrease in the quantity demanded. b. 4 percent decrease in the quantity demanded. c. 40 percent decrease in the quantity demanded. d. 2.5 percent decrease in the quantity demanded. 2 points QUESTION 22 Suppose the price of beans rises from $1.00 a pound to $2.00 a pound quantity demanded falls from 10 units to 6 units. In this example the demand for beans is said to be relatively elastic. relatively inelastic. perfectly elastic. perfectly inelastic. 2 points QUESTION 23 Two goods are ________ if the quantity consumed of one increases when the price of the other decreases. normal superior complementary substitute 2 points QUESTION 24 Which of the following is likely to have the most price inelastic demand? a. apples b. insulin c. camcorders d. devices that remove cores from apples 2 points QUESTION 25 Answer the questions based on the following information. Average product is at a maximum when the number of workers that are hired is 1. 2. 3. 4. Show less
