Micro ecomonics
The assumption that all other relevant factors are held constant when examining the influence of one particular variable in an economic model is called ____________.
Cetrius Paribus
Which branch of economics focuses on the broad aggregates, such as growth of gross domestic products, the money supply, the stability of prices, and the level of employment?
Macroeconomics
A person or nation who enjoys the benefits of a public good without contribution to the cost of maintaining it is called a(n)?
Free rider
The ability of a business to meet its cash financial obligation as they come due is called?
Liquidity
What measures the strength of the relationship between two variables?
Correlation Coefficient
"A function that lies everywhere below its tangent plane is said to be:
A. Concave
B. Convex
C. Pareto Efficient
D. Homogeneous
A. Concave
What does GNP stand for?
Gross National Product
A ___________ tax is imposed on a mineral's extraction.
Severance Tax
What is the difference in value between current assets and current liabilities?
Working Capital
What method tests claims made about populations; also called test of significance?
Hypothesis test
What is total variable costs divided by the number of units produced?
Average Variable Cost
The Phillip's Curve represents the relationship between which two macroeconomic variables?
Inflation and Unemployment
What energy source is the fastest growing renewable energy source with worldwide power installed capacity reaching 14,000 MW?
Wind
A simple capital budgeting method where the budgeter determines the number of years in which an investment will recoup its initial cost by generating next cash inflows is called?
Payback method
When the p-value is smaller than the chosen level of significance, what can be concluded about the null hypothesis?
null should be rejected
Savings obtained through increases in quantities produced is called ____________.
Economies of Scale
What is the name of the model that shows the connection between households and firms via the resource and product markets?
Circular- flow model
The proposition that if private parties can bargain without cost over the allocation of resource, they can solve the problem of externalities on their own is known as what theorem?
Coase Theroem
Debt = ____________ minus ______________
Assets minus equity
What measures the percentage of total variation in the response variable that is explained by the least squares regression line?
R-Squared
Costs that have already been incurred and can not be recovered are called ________.
Sunk Cost
What type of curve shows the real output (Real GDP) people are willing and able to buy at different price levels, ceterus paribus?
Aggergate Demand Curve
The situation in which demand exceeds supply at a price of zero.
Scarcity
List the 5 C's of credit.
1) character
2) capacity
3) capital
4) collateral
5) conditions
You just rejected a hypothesis that was actually true. What type of error did you just commit?
Type1 Error