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WGU Global Economics for Managers (C211, UZC2) Sample Questions:

1. What is a tariff levied on imports that are selling below cost in order to unfairly drive domestic firms out of business?

A) Antidumping duty
B) Opportunity cost
C) Deadweight cost
D) Factor endowment

2. What are represented by formal institutions?

A) Traditions
B) Social norms
C) Cultural beliefs
D) Laws

3. When producing a piece of luggage, the marginal cost is $92 and the marginal revenue is $81. What is the best action for the firm?

A) Restart production
B) Increase production
C) Decrease production
D) Enter the market

4. The marginal cost of producing a computer is $600, but the marginal revenue is $1,000. What is the best action for the respective firm?

A) Exit the market
B) Increase production
C) Decrease production
D) Pause production

5. When there is an expectation of lower income in the future, what is the effect on the demand curve for a normal good?

A) The demand curve shifts right.
B) The demand curve shifts up.
C) The demand curve shifts left.
D) The demand curve shifts down.

Solutions: