1) In microeconomic terms, the ability of a good or a service to satisfy wants for the consumer is called A) opportunity cost B) utility C) profit potential 2) How does the U.S. Bureau of Labor Statisties gather information with regard to the typical consumptid choices of Americans? A) Consumer Expenditure Survey B) Consumer Income Survey C) Online Shopping Survey 3) Approximately what portion of annual consumption is typically spent by American households on she A) one-fourth B) one-half C) one-quarter D) one-third 4) Consider the following three market baskets. Which basket gives the highest satisfaction? Food Clothing A 4 B 2 3 CS A)A B)B CC D) All 5) An inferior good is a product: A) for which demand increases as income increases. B) for which there is no demand. C) for which demand decreases as income increases. D) that has an upward sloping demand curve. 6) The price of apple (A) is $3 and the price of lemon (L) is S2. Philip has a budge two goods. Given the above prices and income, what is his budget equation? A) A+L=12 B) 2A+3L=12 C) 3A+2L=12 7) Which of the following production inputs are variable in the short run? A) labor. B) capital and equipment. C) plant size. (D) all 8) When labor is 5 and output is 20, what is correct? A) marginal product is 4. B) total product is 1/4. C) average product is 4. D) none of the above ) When labor usage increases from 1 to 3 units, output rises from 4 to 10 units. From this we may A) the average product is 3 B) the marginal product is 3. C) the marginal product is 6. 0) Which of the following term is used to measure productivity of labor? A) average product B) total product C) marginal product
Question 1:- answer:- B. Utility
Explanation:- in economic term, utility means consumer receiving
the satisfaction from consuming the product or services. For
example if a person purchase a cold drink and that consumption
gives him pleasure. so this type of satisfaction from consuming the
product or service is called Utility.
Option a is incorrect because opportunity cost means when taking
an economic choice, loss of most desirable alternative as a result
of a decision.
Option c is also incorrect because profit potential means it is
the plan for a good or service to cause a profit which after
expenses that causes to net income.
By observing above information we can say that option b is