1. Reading Quiz 51. In economics, the pleasure or satisfaction received from a product is called: A)marginal cost B) rational self-interest C)opportunity cost D)utility E)efficiency 52. According to economists, “self-interest” A) is the same as selfishness. B) occurs more often in capitalist societies. C) guides every ones behavior. D) is detrimental to society E) is nonexistent in communism.

2. 53. The main focus of the study of economics is to: A) help businesses maximize profits. B)show that capitalistic economies are superior to socialistic economies. C) analyze choices regarding the use of scarce resources. D)decide the best way to distribute society’s scare resource equitably. E) prevent monopolies 54. As a consumer, you decide to go to a movie: A)if the marginal cost of the movie exceeds its marginal benefit. B)if the marginal benefit of the movie exceeds its marginal cost. C)if your income will allow you to buy a ticket. D)because all movies are enjoyable. E) if the movie costs more then going to a restaurant.

3. 55. Macroeconomics can best be described as the: A)analysis of trade between countries B)study of economics aggregates or the economy as a whole. C)analysis of how firms attempt to maximize their profits. D)study of how supply and demand determine prices in individual markets. E) study of personal investments like stocks and bonds. 56. A normative statement is one that: A)is based on the law of diminishing returns. B)applies only to microeconomics. C)applies only to macroeconomics. D)is based on value judgments. E)is based on facts.