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WGU Global-Economics-for-Managers Exam Syllabus Topics:

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

1. Which effect does increased government spending have on aggregate demand if the multiplier effect is greater than the crowding-out effect?

A) Aggregate demand increases by more than the increase in government spending.
B) Aggregate demand decreases by more than the increase in government spending.
C) Aggregate demand increases by less than the increase in government spending.
D) Aggregate demand decreases by less than the increase in government spending.

2. Which statement about consumer surplus is true?

A) It represents government revenue
B) It is a good measure of economic well-being if policymakers want to satisfy buyers' preferences
C) It measures total production efficiency
D) It measures the well-being of sellers

3. What is deadweight cost?

A) The lost potential from pursuing one activity at the expense of another, given the alternatives
B) A government payment to a domestic firm
C) A net loss that occurs in an economy as a result of tariffs
D) A tariff levied on imports that are selling below cost in order to unfairly drive domestic firms out of business

4. The marginal revenue from producing a smartphone is $200, and the marginal cost is $150. What is the best action for the firm?

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

5. Which term best describes a market structure of limited competition in which the market is shared by a small number of sellers?

A) Oligopoly
B) Monopolistic competition
C) Perfect competition
D) Monopoly

Solutions: