What is an example of the Law of Diminishing marginal utility?

The more you eat at your favorite restaurant, the less you like it

Unlimited wants, limited resources

Ideally in free markets...

Prices are self-regulated by the seller and buyer

the cost of producing one or more good

Which item would provide you with the least marginal utility?

a second copy of the daily newspaper

In a free trade zone:

Specialization is valued, instead of protecting domestic industies

Diminishing marginal utility means that, as you

consume more, the additional satisfaction from each unit tends to fall

What is Marginal Utility?

The benefit gained from consuming one additional unit

One of the advantages to free trade agreements is that it

allows consumers access to cheaper goods.

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NAI Principles of Economics 1

26 termsStudBud Administration392 plays

8 basic principles

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Questions 26

Answers

1
What is the opportunity cost of 1 machine in Ashna?
4 machines
4 Lunas
Math hurts my head
3 units of food
2
What is an example of the Law of Diminishing marginal utility?
The more you eat at your favorite restaurant, the less you like it
The less you eat your favorite food the less you like it
The last hour at an amusement park is just as fun as the first hour
The more you watch a movie the more you like it
3
What's the Opportunity Cost of going to the cinema instead of going to the park?
Relaxing on a bench
Learning a new language
Seeing a movie
Eating popcorn
4
What is scarcity?
Unlimited resources, limited wants
Unlimited wants
Limited resources
Unlimited wants, limited resources
5
If the marginal utility exceeds the marginal cost...
you should buy another unit
You should sell all units on Ebay
You should not buy any more of this product
Marginal utility cannot fall below marginal cost
6
What is Opportunity Cost?
What you are going to get
What happened in the past
What you recieved
What you gave up
7
Random Trivia: Where would you find the Sea of Tranquility?
The Sahara Desert
China
The Moon
The Amazon
8
Of the four factors of production - land, labor, capital, and entrepreneurship - which number is pointing to CAPITAL?
1
4
2
3
9
What is a Tariff?
Tax on exports
Ban on imports
Payment to a company
Tax on imports
10
Ideally in free markets...
The laws of supply and demand are set by government intervention
Prices are self-regulated by the seller and buyer
Tariffs protect domestic jobs
Sellers decide the production and the government decides the prices
11
SpongeBob trivia: What is the name of SpongeBob's pet snail?
Gary
Kenny
Nancy
Dennis
12
Trivia: What country has the longest coastline?
Canada
United States
Argentina
China
13
Trivia! Median (50% above / 50% below) Household Income in the US is approxmately:
$91,000
$38,000
$72,000
$22,000
14
Trivia! What was the net worth of Elon Musk, founder of Tesla (before he bought Twitter!)
$28 Billion
$2 Billion
$242 Billion
$2 Trillion
15
Marginal Cost
the cost of selling one or more good
the cost of producing one or more good
16
Which item would provide you with the least marginal utility?
a second drink of water when you’re thirsty
a second pair of sneakers
a second car
a second copy of the daily newspaper
17
In a free trade zone:
tariffs are imposed on foreign goods to protect domestic industry
Export taxes are imposed
Import taxes are increased on goods from other countries
Specialization is valued, instead of protecting domestic industies
18
What is NOT a cause of Opportunity Cost?
Limited Resources
Limited Utility
Limited Money
Limited Time
19
Diminishing marginal utility means that, as you
consume more, each unit is equally satisfying
consume, you are willing to pay more for each additional item
consume more, the total satisfaction you obtain tends to fall
consume more, the additional satisfaction from each unit tends to fall
20
What is Marginal Utility?
The opportunity cost of consuming one more unit
The cost of proucing one more unit of a good
The benefit gained from consuming one additional unit
The benefit gained from consuming all options
21
If the United States put a tariff on automobiles from Country X, who would be most likely to benefit?
Automobile manufacturers in Country X.
Auto workers in Country X
Consumers in the United States.
Auto workers in the U.S.
22
Trivia! The richest 26 people in the world are as wealthy as:
The poorest 100,000 people
the poorest 500 million people
the poorest 100 million people
the poorest 3.8 billion people
23
Trivia! Which country has a higher GDP per person (standard of living) than the United States?
All of the above
Norway
Ireland
Singapore
24
Trivia! What is this medieval siege weapon called?
Trebuchet
Rock Tosser
Catapult
Crossbow
25
Land, labor, capital and entrepreneurship are known as:
Four sources of revenue
Four scarce resources
Four opportunity costs
Four economic systems
26
One of the advantages to free trade agreements is that it
Provides fewer choices / options in the market
Encourages a nation to be self-sufficient and produce everything at home
allows consumers access to cheaper goods.
creates a loss of jobs.

NAI Principles of Economics 1 Flashcards | StudBud