1. “1”
Economic
Principles
“2”
Aplia
Check
“3”
Famous
Economists
“4”
Marginal
Analysis
“5”
PPF
Model
“6”
Comparative
Advantage
$100
$100
$100
$100
$100
$100
$200
$200
$200
$200
$200
$200
$300
$300
$300
$300
$300
$300
$400
$400
$400
$400
$400
$400
$500
$500
$500
$500
$500
$500

2. Correct response? Earn $100 Incorrect response? Lose $100
Economic Principles
The study of the economy as it pertains to individuals or specific markets.
Correct response? Earn $100
Incorrect response? Lose $100
A-100

3. Economic Principles A-200 TRUE or FALSE
The opportunity cost of going to a
particular college is the same for everyone.
Correct response? Earn $200
Incorrect response? Lose $200
A-200

4. Economic Principles A-300
A subjective statement that does not express a testable hypothesis.
Correct response? Earn $300
Incorrect response? Lose $300
A-300

5. Correct response? Earn $400 Incorrect response? Lose $400
Economic Principles
TANSTAAFL
Correct response? Earn $400
Incorrect response? Lose $400
A-400

6. Correct response? Earn $500 Incorrect response? Lose $500
Economic Principles
The dominant assumption made by economists regarding the behavior of individuals.
Correct response? Earn $500
Incorrect response? Lose $500
A-500

7. Aplia Check
A baseball stadium has three ticket windows that sell season tickets. Windows 1 and 2 have lines of three people each. Window 3, which was initially closed, opens. One person from Window 1 and one person from Window 2 line up at Window 3.
The economic principle that is described above.
Correct response? Earn $100
Incorrect response? Lose $100
B-100

8. Correct response? Earn $200 Incorrect response? Lose $200
Aplia Check
TRUE or FALSE
Supplies such as paint stripper, varnish, polish, sandpaper, and so on are implicit costs.
Correct response? Earn $200
Incorrect response? Lose $200
B-200

9. Correct response? Earn $300 Incorrect response? Lose $300
Aplia Check
The coach of a soccer team must decide whether team member Anna should play in the next game, and if so, how long to let Anna continue in this game.
Which part of this decision is a marginal decision?
Correct response? Earn $300
Incorrect response? Lose $300
B-300

10. Correct response? Earn $400 Incorrect response? Lose $400
Aplia Check
Diagram used to illustrate the transactions in the product and factor markets
Correct response? Earn $400
Incorrect response? Lose $400
B-400

11. Aplia Check B-500 Economist who created Aplia.com
Correct response? Earn $500
Incorrect response? Lose $500
B-500

12. Famous Economists C-100 The father of modern economics.
Correct response? Earn $100
Incorrect response? Lose $100
C-100

13. Famous Economists
The first woman appointed to the US Supreme Court.
Correct response? Earn $200
Incorrect response? Lose $200
C-200

14. Correct response? Earn $300 Incorrect response? Lose $300
Famous Economists
Former U.S. President known as the “great communicator” and for his use of “supply side economics.”
Correct response? Earn $300
Incorrect response? Lose $300
C-300

15. Correct response? Earn $400 Incorrect response? Lose $400
Famous Economists
Stanford grad who won two Super Bowls quarterbacking the Denver Broncos.
Correct response? Earn $400
Incorrect response? Lose $400
C-400

16. Correct response? Earn $500 Incorrect response? Lose $500
Famous Economists
A graduate of Kenyon College, this actor won the Academy Award for “best actor” in The Color of Money.
Correct response? Earn $500
Incorrect response? Lose $500
C-500

17. Correct response? Earn $200 Incorrect response? Lose $200
Marginal Analysis
TRUE or FALSE
If the marginal benefit is decreasing, the total benefit must be negative.
Correct response? Earn $200
Incorrect response? Lose $200
D-100

18. Marginal Analysis D-200 TRUE or FALSE
Marginal analysis is relevant for only
“either-or” decisions.
Correct response? Earn $200
Incorrect response? Lose $200
D-200

19. Marginal Analysis
The rule for determining the optimal amount of any activity.
Correct response? Earn $500
Incorrect response? Lose $500
D-300

20. Correct response? Earn $400 Incorrect response? Lose $400
Marginal Analysis
Wendy sells ice-making machines. She can sell 6 per week at a price of $2000 each. If she charges $2100, she will only sell 5 per week. The marginal benefit of selling the 6th machine is _______.
Correct response? Earn $400
Incorrect response? Lose $400
D-400

21. Correct response? Earn $300 Incorrect response? Lose $300
Marginal Analysis
TRUE or FALSE
If a company’s total costs per day increase from $500 to $600 by adding worker, but its marginal benefits are $150, it is sensible to add that additional worker.
Correct response? Earn $300
Incorrect response? Lose $300
D-500

22. PPF Model E-100 All points inside the PPF. Correct response? Earn $100
Incorrect response? Lose $100
E-100

23. PPF Model E-200 All points outside the PPF Correct response? Earn $200
Incorrect response? Lose $200
E-200

24. Correct response? Earn $300 Incorrect response? Lose $300
PPF Model
PPF will shift outward for all of the following reasons EXCEPT:
Increase in unemployment rate
Increase in the labor force
Improvement in technology
Increase in worker productivity
Correct response? Earn $300
Incorrect response? Lose $300
E-300

25. Correct response? Earn $400 Incorrect response? Lose $400
PPF Model
The shape of a PPF depicting resources that are perfect substitutes for each other.
Correct response? Earn $400
Incorrect response? Lose $400
E-400

26. PPF Model E-500 “Law” illustrated by a concave PPF
Correct response? Earn $500
Incorrect response? Lose $500
E-500

27. Correct response? Earn $100 Incorrect response? Lose $100
Comparative Advantage
TRUE or FALSE
Comparative advantage is held by the person with the highest opportunity cost of production.
Correct response? Earn $100
Incorrect response? Lose $100
F-100 27

28. Correct response? Earn $200 Incorrect response? Lose $200
Comparative Advantage
In one hour Fred can produce either 20 bikes or 10 trikes while Barney can produce either 30 bikes or 20 trikes.
Fred’s opportunity cost of 1 trike is ____.
Correct response? Earn $200
Incorrect response? Lose $200
F-200 28

29. Comparative Advantage
In one hour Fred can produce either 20 bikes or 10 trikes while Barney can produce either 30 bikes or 20 trikes.
Barney holds the comparative advantage in _____.
Correct response? Earn $300
Incorrect response? Lose $300
F-300 29

30. Correct response? Earn $400 Incorrect response? Lose $400
Comparative Advantage
True or False
If Sarah can produce 10 hamburgers while Jesse can produce 5 hamburgers, we know that Sarah has a comparative advantage in hamburgers.
Correct response? Earn $400
Incorrect response? Lose $400
F-400 30

31. Comparative Advantage
Economist who developed the theory of comparative advantage.
Correct response? Earn $500
Incorrect response? Lose $500
F-500 31

32. Correct response? Earn $100 Incorrect response? Lose $100
Economic Principles
The study of the economy as it pertains to individuals or specific markets.
Microeconomics
Correct response? Earn $100
Incorrect response? Lose $100
A-100 32

33. Economic Principles A-200 FALSE The opportunity cost of going to a
particular college is not the same for everyone.
Correct response? Earn $200
Incorrect response? Lose $200
A-200

34. Economic Principles A-300
A subjective statement that does not express a testable hypothesis.
Normative Statement
Correct response? Earn $300
Incorrect response? Lose $300
A-300

35. Economic Principles A-400 TANSTAAFL
There Ain’t No Such Thing As A Free Lunch
Correct response? Earn $400
Incorrect response? Lose $400
A-400

36. Economic Principles A-500
The dominant assumption made by economists regarding the behavior of individuals.
Self-interest (or rationality)
Correct response? Earn $500
Incorrect response? Lose $500
A-500

37. Correct response? Earn $100 Incorrect response? Lose $100
Aplia Check
Equilibrium
Correct response? Earn $100
Incorrect response? Lose $100
B-100

38. Aplia Check B-200 FALSE These are examples of explicit costs.
Correct response? Earn $200
Incorrect response? Lose $200
B-200

39. Correct response? Earn $300 Incorrect response? Lose $300
Aplia Check
How long Anna plays.
Correct response? Earn $300
Incorrect response? Lose $300
B-300

40. Correct response? Earn $400 Incorrect response? Lose $400
Aplia Check
Circular Flow Diagram
Correct response? Earn $400
Incorrect response? Lose $400
B-400

41. Correct response? Earn $500 Incorrect response? Lose $500
Aplia Check
Paul Romer
Correct response? Earn $500
Incorrect response? Lose $500
B-500

42. Famous Economists C-100 The father of modern economics. Adam Smith
Correct response? Earn $100
Incorrect response? Lose $100
C-100

43. Famous Economists
The first woman appointed to the US Supreme Court.
Sandra Day O’Connor
Correct response? Earn $200
Incorrect response? Lose $200
C-200

44. Correct response? Earn $300 Incorrect response? Lose $300
Famous Economists
Former U.S. President known as the “great communicator” and for his use of “supply side economics.”
Ronald Reagan
Correct response? Earn $300
Incorrect response? Lose $300
C-300

45. Correct response? Earn $400 Incorrect response? Lose $400
Famous Economists
Stanford grad who won two Super Bowls quarterbacking the Denver Broncos.
John Elway
Correct response? Earn $400
Incorrect response? Lose $400
C-400

46. Correct response? Earn $500 Incorrect response? Lose $500
Famous Economists
A graduate of Kenyon College, this actor won the Academy Award for “best actor” in The Color of Money.
Paul Newman
Correct response? Earn $500
Incorrect response? Lose $500
C-500

47. Correct response? Earn $200 Incorrect response? Lose $200
Marginal Analysis
FALSE
If the marginal benefit is decreasing, the total benefit may still increase.
Correct response? Earn $200
Incorrect response? Lose $200
D-100

48. Marginal Analysis D-200 FALSE Marginal analysis is relevant only for
“how much” decisions.
Correct response? Earn $200
Incorrect response? Lose $200
D-200

49. Correct response? Earn $500 Incorrect response? Lose $500
Marginal Analysis
MB = MC
Correct response? Earn $500
Incorrect response? Lose $500
D-300

50. Correct response? Earn $400 Incorrect response? Lose $400
Marginal Analysis
Wendy sells ice-making machines. She can sell 6 per week at a price of $2000 each. If she charges $2100, she will only sell 5 per week. The marginal benefit of selling the 6th machine is $1500.
Correct response? Earn $400
Incorrect response? Lose $400
D-400

51. Correct response? Earn $300 Incorrect response? Lose $300
Marginal Analysis
TRUE
If a company’s total costs per day increase from $500 to $600 by adding worker, but its marginal benefits are $150, it is sensible to add that additional worker.
Correct response? Earn $300
Incorrect response? Lose $300
D-500

52. Correct response? Earn $100 Incorrect response? Lose $100
PPF Model
Inefficient
Correct response? Earn $100
Incorrect response? Lose $100
E-100

53. Correct response? Earn $200 Incorrect response? Lose $200
PPF Model
Unattainable
Correct response? Earn $200
Incorrect response? Lose $200
E-200

54. Correct response? Earn $300 Incorrect response? Lose $300
PPF Model
Increase in unemployment rate
Correct response? Earn $300
Incorrect response? Lose $300
E-300

55. PPF Model E-400 Linear (or straight line) Correct response? Earn $400
Incorrect response? Lose $400
E-400

56. PPF Model E-500 “Law of Increasing Opportunity Costs”
Correct response? Earn $500
Incorrect response? Lose $500
E-500

57. Correct response? Earn $100 Incorrect response? Lose $100
Comparative Advantage
FALSE
Comparative advantage is held by the person with the LOWEST opportunity cost of production.
Correct response? Earn $100
Incorrect response? Lose $100
F-100 57

58. Correct response? Earn $200 Incorrect response? Lose $200
Comparative Advantage
2 bikes
Correct response? Earn $200
Incorrect response? Lose $200
F-200 58

59. Correct response? Earn $300 Incorrect response? Lose $300
Comparative Advantage
Trikes
Correct response? Earn $300
Incorrect response? Lose $300
F-300 59

60. Comparative Advantage
FALSE
Sarah has an absolute advantage.
Correct response? Earn $400
Incorrect response? Lose $400
F-400 60

61. Correct response? Earn $500 Incorrect response? Lose $500
Comparative Advantage
David Ricardo
Correct response? Earn $500
Incorrect response? Lose $500
F-500 61

62. Daily Double 62