Macro Learning Objectives for questions over Exam 2 Chapter 6

 

FALL/SPRING/SUMMER

PCM

 ECON 2302 MICROECONOMICS   

Chapter 6

Below you will find the learning objective, concept, idea, term, or theory that each question on the exam will cover. The numbers in the list refer to the question number on Exam 2 that will test your knowledge of that specific learning objective. You will also find a reference to the page numbers in the textbook, Microeconomics, Explore & Apply: Activebook Version 2.0 where the substance of each question is explained. A much better understanding can often be attained by working through the "active graphs" and "smart graphs" connected to many of these objectives in the online material.

 

  After reading this chapter, you should be able to:

  1. Discuss how the income and substitution effects lead to a downward-sloping demand curve. Page 94
  2. Define the terms utility, total utility, and marginal utility. Pages 94-95
  3. Explain what motivates consumers in the economic model presented in the textbook, and explain why marginal utility eventually diminishes. Page 96
  4. Explain the utility maximization process step-by-step. Pages 98-99
  5. State and apply the rule for utility maximization. Page 99
  6. (#5 above is repeated here.)
  7. Show how the rule for utility maximization can be used to derive a downward-sloping demand curve. Pages 99-100
  8. (#7 above is repeated here.)
  9. List and discuss the influences that impinge on consumers’ choices. Pages 101-103
  10. (#9 above is repeated here.)