Test Bank for Economics for Managers 2nd Edition

Test Bank for Economics for Managers 2nd Edition Test I Bank Ifor IEconomics Ifor IManagers I 2nd IEdition I Part I1 Which Iof Ithe Ifollowing Istatements Iis Icorrect? 1. A) IBy Iand Ilarge, Imanagerial Idecisions Iare Inot Iaffected Iby Ieither I microeconomic Ior Imacroeconomic Iforces. 2. B) IManagerial Idecisions Iare Iaffected Iprimarily Iby Imacroeconomic Iforces. 3. C) IManagerial Idecisions Iare Iaffected Iby Iboth Imicroeconomic Iand I macroeconomic Iforces. 4. D) IManagerial Idecisions Iare Iaffected Iprimarily Iby Imicroeconomic Iforces. Walmartʹs Idecision Iin I1994 Ito Icontinue Ioperating Istores Iin Ispecific Icities Iin I Mexico Iwhen Iother Ifirms Iwere Ipulling Iout Iwould Ibe Ibest Iclassified Ias: 1. A) I a I microeconomic I decision. 2. B) I a I macroeconomic I decision. 3. C) Iboth Ia Imicroeconomic Iand Ia Imacroeconomic Idecision. 4. D) Ineither Ia Imicroeconomic Inor Ia Imacroeconomic Idecision. Which I of I the I following I would I be I considered I an I example I of I a I macroeconomic I problem? 1. A) IShould IMicrosoft Ireduce Ithe Iprice Iof Iits IWindows Ioperating Isystem? 2. B) IShould IJP IMorgan IChase Iincrease Ithe Iinterest Irate Iit Icharges Iits Icredit I card Icustomers? 3. C) IShould IMitsubishi Ieliminate Ione Iof Iits Iproduction Ishifts? 4. D) IShould Ithe Ifederal Igovernment Iextend Ithe Ieligibility Iperiod Ifor I unemployment Ibenefits? Walmartʹs Ientry Iinto Ithe Imarket Iin IMexico Ihad Ithe Ieffect Iof: 1. A) Ireducing Icompetition Iand Iraising Ithe Iprices Iof Imany Iof Ithe Igoods Iit I sells. 2. B) Iincreasing Icompetition Iand Iraising Ithe Iprices Iof Imany Iof Ithe Igoods Iit I sells. 3. C) Iincreasing Icompetition Iand Ilowering Ithe Iprices Iof Imany Iof Ithe Igoods Iit I sells. 4. D) Ireducing Icompetition Iand Ilowering Ithe Iprices Iof Imany Iof Ithe Igoods Iit I sells. Which Iof Ithe Ifollowing Istatements Iis Ifalse? 1. A) IWhile Imanagers Imust Iunderstand Ihow Ioutput Iprices Iare Idetermined, I determination Iof Iinput Iprices Iis Iirrelevant Ibecause Iit Iis Ibeyond Ithe I managerʹs Icontrol. 2. B) IPrice Idetermination Iis Ithe Ikey Ielement Iin Iany Imarket Isystem. 3. C) IInput Iprices Iinfluence Ia Ifirmʹs Icosts Iof Iproduction. 4. D) IOutput Iprices Iinfluence Ia Ifirmʹs Irevenues. All Ielse Iconstant, Ithe Ichoice Iof Iwhether Ito Iuse Ia Ilabor-intensive Iproduction I process Ior Ia Icapital-intensive Ione Iis Idepends Ion: 1. A) Ithe Iabsolute Iprices Iof Icapital Iand Ilabor. 2. B) Iwhether Ithe Ieconomy Iis Igrowing Ior Ishrinking. 3. C) Ithe Irelative Iprices Iof Icapital Ilabor. 4. D) Ithe Itype Iof Imarket Iin Iwhich Ithe Ifirm Ioperates. Which Iof Ithe Ifollowing Iis Inot Ia Icharacteristic Iof Ia Iperfectly Icompetitive I market? 1. A) ILimited Iinformation Iis Iavailable Ito Iall Imarket Iparticipants. 2. B) IEase Iof Ientry Iinto Ithe Imarket. 3. C) IOutputs Iof Ithe Ifirms Iare Iperfect Isubstitutes Ifor Ione Ianother. 4. D) ILarge Inumber Iof Ifirms Iin Ithe Iindustry. Firms Iare Iconsidered Ito Ibe Iprice Isearchers, Ias Iopposed Ito Iprice Itakers, Iin Iall I of Ithe Ifollowing Imarket Itypes Iexcept: 1. A) Imonopoly. 2. B) Iperfect Icompetition. 3. C) Ioligopoly. 4. D) Imonopolistic Icompetition.