CH 1 APPENDIX Terms

Question 1

IN GRAPH EQUATION Y=a+bX, “a” REPRESENTS?

Answer 1

VERTICAL INTERCEPT

Question 2

IN GRAPH EQUATION Y=a+bX, “b” REPRESENTS?

Answer 2

SLOPE

Question 3

FORMULA FOR GRAPH OF AN EQUATION IS WRITTEN?

Answer 3

Y=a+bX

Question 4

___ ECONOMIC PRINCIPLE PREDICTS BEHAVIOR

Answer 4

POSITIVE

Question 5

COST INCREASE FROM ADDITIONAL UNIT OF ACTIVITY IS ___ COST

Answer 5

MARGINAL COST

Question 6

___ PRINCIPLE IS MORE LIKELIHOOD OF ACTION IF BENEFIT RISES, LESS LIKELY IF COST RISES

Answer 6

INCENTIVE

Question 7

AVERAGE BENEFIT FORMULA?

Answer 7

n UNITS OF ACTIVITY/N

Question 8

ECONOMIC ___ IS BENEFIT OF ACTION MINUS COST

Answer 8

SURPLUS

Question 9

ECONOMICS DEFINITION

Answer 9

STUDY OF CHOICES UNDER SCARCITY AND SOCIETAL RESULTS

Question 10

PRINCIPLE OF LIMITED RESOURCES DESPITE INFINITE WANTS

Answer 10

SCARCITY PRINCIPLE

Question 11

PRINCIPLE OF ACTING ONLY WHEN BENEFITS GREATER/EQUAL TO COSTS

Answer 11

COST-BENEFIT PRINCIPLE

Question 12

PRINCIPLE DESCRIBING HOW WE SHOULD BEHAVE

Answer 12

NORMATIVE ECONOMIC PRINCIPLE

Question 13

PRINCIPLE DESCRIBING HOW WE WILL ACTUALLY BEHAVE

Answer 13

POSITIVE/DESCRIPTIVE ECONOMIC PRINCIPLE

Question 14

PRINCIPLE THAT ACTION MORE LIKELY IF BENEFITS RISE, LESS LIKELY IF COST RISES

Answer 14

INCENTIVE PRINCIPLE

Question 15

METHOD OF SIMULTANEOUS EQUATIONS WRITTEN AS?

Answer 15

B=X+YT