Jawaban chapter 5

CHAPTER 5

HOUSEHOLD BEHAVIOR AND CONSUMER CHOICE

I. MULTIPLE CHOICES

1. B

2. C

3. A

4. B

5. C

6. B

7. C

8. B

9. C

10. D

II. MATCHING QUESTIONS

1. F

2. J

3. E

4. G

5. H

6. B

7. D

8. A

9. C

10. I

III. TRUE-FALSE

1. F; The change in price of other product will determine the household demand to shifting.

2. F; Labor supply curve is a diagram that shows the quantity of labor supplied at different wage rate.

3. T

4. F; Substitution effect states that when wage increases, the leisure time will decrease.

5. F; the marginal utility comes from the last unit consumed.

6. T

7. F; The labor supply curves will slopes downward when the income effect outweighs the substitution effect

8. T

9. T

10. T

IV. ESSAY

1. Confronted with the choice between two alternative combination of goods and services, A and B, a consumer will respond in one of three ways

- A is prefer over B

- B is prefer over A

- A and B is indifferent, they liked equally

2. a. Budget constraint is the limits imposed on household choices by income, wealth, and product prices.

Equation: Px . X + Py. Y = I

X = quantity of X consumed

Y = quantity of Y consumed

Px = price of good X

Py = price of good Y

I = household income

a. When X=0 when Y=0

8 Y = 480 3 X = 480

Y = 60 X = 160

3. We should choose the point B because at point B we use all the income that we have to buy goods and services which means efficient. It’s different with point A and C. At point A, the maximum condition is unreached because there is a residual budget that we don’t use. Point B is unattainable because we have not enough money to consume at that point.

4. The law of diminishing marginal utility states that the more of any one good consumed in a given period, the less satisfaction generated by consuming each additional unit of the same good.

5. Marginal Rate of Substitution (MRS) is the ratio at which household is willing to substitutes one good (X) for another good (Y).

MRS = MUx/MUy

MRS equal to 5 means a household would be willing to trade five units of Y for one additional unit of X.

6. This paradox states that: “The things with the greatest value in use frequently have little or no value in exchange, and the things with the greatest value in exchange frequently have little or no value in use.”

There are two main points in this theory which are value in use and value in exchange. The very useful thing in our life frequently have little value in exchange such as water because it need a little sacrifice ,easy reflecting in low cost of production, to produce. Vice versa, the less useful thing frequently has large value in exchange, such as diamond because of it need large sacrifice or high cost of production to produce.

7. The substitution effect and income effect when price of X decreases:

- Normal goods

SE: price of Y become relative more expensive, quantity demanded of X increase

IE: purchasing power increase, quantity demanded of X increase

SE and IE go in same direction

Conclusion: quantity demanded of X increase

- Inferior goods

SE: price of Y become relative more expensive, quantity demanded of X increase

IE: purchasing power increase , quantity demanded of X decrease

SE and IE in opposite directionàSE > IE

Conclusion: quantity demanded of X increase

- Giffen goods

SE: price of Y become relative more expensive, quantity demanded of X increase

IE: purchasing power increase , quantity demanded of X decrease

SE and IE in opposite directionàSE <>

Conclusion: quantity demanded of X decrease

8.

Slice of bread consumed	Total utility	Marginal Utility
1	10	-
2	20	10
3	26	6
4	29	3
5	30	0

a. Yes, the data consistent with the law of diminishing marginal utility because when we consume one more and more slice of bread, the additional satisfaction decrease and we have stop to consume in the fourth slice because we will get no more additional satisfaction and if we consume more, even it will cause the negative marginal utility.

9. Substitution effect: The increases in wage means that leisure is more expensive, which causes the household substitute other goods for leisure. It means lower quantity demanded of leisure and higher quantity supplied of labor.

Income effect: The increases in wage will cause the household better off because they will earn higher income and lead to higher demand for leisure. It means quantity supplied of labor will decrease.

If the substitution effect is greater than the income effect, the wage increase will increase labor supply which suggests that the labor supply curve slopes upward (a). But, if the income effect is greater than substitution effect, a higher wage will lead labor supply to decrease which suggest that the labor supply curve slope downward (b).

10. Deriving demand curve

Assume that the price of X decrease ( both X and Y is normal goods).

Jawaban chapter 3 & 4

CHAPTER 3&4
Matching Question :
1. F
2. K
3. G
4. A
5. H
6. L
7. B
8. C
9. D
10. I

True or False :
1. F
2. F
3. F
4. F
5. F
6. F
7. F
8. T
9. F
10. T

Multiple Choice
1. A
2. C
3. D
4. B
5. B
6. B
7. C
8. A
9. C
10. A

Essay
1. Law of demand:
negative relationship between price and quantity demanded. When the price falls, quantity demanded will increase, at ceteris paribus, and vice versa.
Law of supply:
Positive relationship between price and quantity supplied.
When price falls quantity supplied will decrease, at ceteris paribus, vice versa.
2. Input Market
market sell resources to be used for the production process.
e.x : Steel, Plastice Ore, Iron Ore, etc.

Output Market
market where goods and services exchanged.
e.x : Cars Market.


3. Lihat di buku gambar yang jelasnya, dan penjelasannya.

4. a. Normal goods
Goods which demand tends to increase as income increases. Example : luxurious
cars.

b. Inferior goods
goods that demand tends to fall as income increases.

c. Substitutes Goods
items can be interchangeable, when a single price rises, demand for other goods
will rise.

d. Complementary Goods
a decline in goods prices causes an increase in demand for other goods.

5.demand curve has a negative slope due to the demand made by the buyer.buyers will
buy more goods if the goods are much cheaper price. so the price and quantity in
demand has a negative relationship. (mathematical explanation)

supply curve has a positive slope because that its offering is a Producer, so the
Producer will sell more goods when the price increased to greater profits.

6. Equilibrium is a condition where the amount of goods demanded equals the quantity
of goods offered. Equilibrium occurs when Qd=Qs

7. equilibrium :
QDx = QSx
8000-1000p = -4000 + 2000 p
12.000 = 3000p
P = $4

Q = 8000-1000p
Q = 8000-1000 ($4)
Q = 8000-4000
Q = 4000

Jadi Pe (equilibrium) = $4
dan Qe (Equilibrium) = 4000

dan titik keseimbangan terletak di Qe ; Pe (4000 ; $4)

gambarnya :


9.

9
10. mencari elastisitas dengan menggunakan rumus mid point.

lihat rumusnya di case n fair halaman 117
dan di kerjakan, hasilnya akan saya bahas di kelas.

Jawaban Chapter 1 dan 2

CHAPTER 1 & 2
ANSWERS
MATCHING QUESTION
1. E. positive economics
2. H. normative economics
3. I. opportunity cost
4. B. efficiency
5. D. marginal cost
6. J. Production Possibility Frontier
7. A. Laissez-Faire economy
8. K. comparative advantage
9. C. absolute advantage
10. G. command economy

TRUE FALSE
1. T
2. F, opportunity cost is different with the sunk cost. Because opportunity cost is the best alternatives forgone of making one decision and giving up another decision, while sunk cost is the cost that is gone after making a decision, and it doesn’t counted on the next economic decision.
3. T
4. F, the statement above is normative economics
5. F, economics problem is determined by three basic questions of what, how, and for whom related to the production and distribution of scarce resources and allocation.
6. T
7. F, economic growth is the increasing in the total output where the society produces more goods and services within given resources. It also means the increasing of productivity.
8. F, there’s nothing such best economic system, because every system has its own strength and weakness.
9. T
10. T

MULTIPLE CHOICE
1. B. opportunity cost
2. D. what, how, for whom
3. C. work in Insurance Company
4. A. when price increases, quantity demanded will decrease
5. D. Ockham’s razor
6. D. comparative advantage
7. D. investment
8. C. the economic decision is planned
9. C. having more bachelor and master degree among people
10. A. Scarcity

ESSAY
1. Economics is the study of how societies use the scarce resources to produce goods and services and distribute them among different people.
2. Opportunity cost is the best alternatives forgone of making one decision and giving up another decision.
Sunk cost is the cost that had been made and cannot be recovery and shouldn’t affect next economic decision.
Marginal cost is an additional cost of producing one unit of output and concern also for the economic decision
3. The four main reasons why we study economics are :
-Learn the basic thoughts : related to the opportunity cost, marginal cost, sunk cost. it deals of how society makes a decision
- Understanding the society : because the economic decision in the past will affect the life of the society nowadays, so we study economics to concern the long-live society.
- Understanding global issues : because economic had become a main issue all over the world. The policy, locally or internationally, will lead to the overall economic performance in one country. And because economic often causes the big impact for the world welfare and stability, it’s important to understand the global issues.
- to be the speaker of knowledge : when we want to participate about the country’s performance, it’s important to analyze the policy by knowing the basic understanding of economics.
4. Positive economics : The economics method that describe of what happening is and how it is happening. The approaching of economics that doesn’t judge and just see how the people and operation system behave.
Normative economics : The economics method that analyze the result of economic behavior and evaluate the policy about how good and how bad. It what should be happen rather than what happens.
5. Ceteris Paribus means other thing held constant. The assumption of ceteris paribus is needed to simplify the reality and to focus of the relationship we are concerning of. It’s the part of abstraction process when there’s a complicated model and hard to be discussed. Because in the social life, many things had their own effect to something, and to know the relationship of only one thing to another thing, we need to make the model more simply.
6. Scarcity is when the resources are limited relative to the human needs and wants. While choice is the action that human should do when they face the fact of scarcity.
as related to the economic problem, people should make a choice how to produce efficiently in the given scarce resources. The 3 basic question of what, how and for whom are also answering the problem of scarcity and choice.
7. Comparative advantage : The idea which stated that the specialization and the free-trade will give a benefit for each trader’s participant, even when there’s an inefficient producer.
Absolute advantage : The idea which stated that a producer still gets a same result in producing goods or services when that producer is able to use the lower resources.
8. Laissez-Faire is the France’s phrase which means : let them do.
It is the economic system that has no government intervention and work based on market-economy-system. It concerns in the efficiency and regard that the government intervention will only bring the inefficiency, so it runs its economic based on the behavior of capital’s holders.
9. Production Possibility Frontier is the graph that shows the all combination of goods and services produced when all resources are used efficiently.
In the graph shows the combination of weapons and butter that nation faces. The nation best production is lied above the point A andC.
while the B point, the nation is still leaving some resources.
In point A, the nation take more weapons that butter, while in point C, the nation take more butter than weapons, but it gives the same best alternatives.
The point B implies that the nation hasn’t used its best resources in producing products. It means the economy hasn’t attained the efficient economy.

weapons







butter





10. Indonesia’s economic system is actually a mixed-economy which adopts the market-system when there’s a freedom for market to operate its business and run economic activities, but there’s still an intervention from government. Where the main and important resources are led by the nation and the private firms can only run a business of usual products (not main important resources). Furthermore, the government is also regulating several economic performance indicators which reflects in the fiscal or monetary policy.

Soal Remedial

untuk yang telah menerima hasil praktikum pie mikro 2, dan kepada yang nilainya masih di bawah 75, saya tawarkan 2 opsi kepada kalian.

1. nilai kalian tetap di bawah 75, dan masih ada jatah nilai yang bisa kalian maksimalkan (itupun kalau masih ada :D )

2. kerjakan soal perbaikan, dan bila semuanya benar, anda akan mendapat point 75 untuk perbaikan nilai anda.

bila anda setuju untuk point 1, silahkan meninggalkan blog ini, dan belajar untuk praktikum selanjutnya :D

bila anda setuju untuk point 2.

SILAHKAN, cek kembali lembar jawaban praktikum anda, lalu..
lihat di blog ini, soal praktikum 2, dan kerjakan nomer-nomer yang anda salah saja.

misal : anda salah pada nomor 3 dan 4
nah, cari dan perbaiki jawaban nomer 3 dan 4 dengan baik dan benar, di kertas folio yang baru.

lalu, kumpulkan hasil praktikum 2 anda dan jawaban perbaikan anda.
dikumpulkan paling lambat, SENIN (18 Oktober 2010) di boxfile, dengan nama Putri Rahmi
pada pukul 17.00 WIB, lewat dari jam tersebut, dengan sangat berat hati, jawaban anda tidak saya terima :-)

Selamat mengerjakan, bila ada kesulitan, silahkan tanya saya di ruang TA. my office hour in monday, start from 14.30 till 17.00 wib.

good luck everybody :D

soal praktikum 2

Aturan Pengerjaan
1. kerjakan soal berikut saja:

* MQ = 2,4,5,6,7
* T/F= 1,2,3,4,5,10 (sebutkan alasan nya, bila anda memilih F (FALSE) )
* MC = 1-5, 10
* Essay = 1-7

2. Untuk susulan ini, anda akan mendapatkan nilai maksimal 75.
3. jawaban ditulis rapi, pada kertas Folio bergaris.
4. dikumpulkan paling lambat, SENIN (18 Oktober 2010) di boxfile, dengan nama Putri Rahmi
pada pukul 17.00 WIB, lewat dari jam tersebut, dengan sangat berat hati, jawaban anda tidak saya terima :-)
5. Selamat mengerjakan, bila ada kesulitan, silahkan tanya saya di ruang TA. my office hour in monday, start from 14.30 till 17.00 wib.
6. good luck everybody :D




CHAPTER 3 AND 4
DEMAND, SUPPLY, MARKET EQUILIBRIUM AND ITS ELASTICITY

Matching Questions
1. A general concept used to quantify the response in one variable when another variable change.
2. Diagram of the economic activity where goods and services flow clockwise.
3. The difference between the maximum amounts a person is willing to pay for a good and its current market price.
4. Goods that are biased interchangeable with each other; when the price of a good rises, demand for other goods will rise.
5. Condition that occurs when quantity demanded exceeds quantity supplied at a certain price.
6. Change in income, preference, or price of other goods leads to change in demand.
7. The negative relationship between price and quantity demanded. As price rises, quantity demanded falls, and vice versa.
8. A minimum price below which exchange is not permitted.
9. Change in price of a good leads to change in quantity demanded of that good.
10. The net loss of producer and consumer surplus from underproduction or overproduction.

A. Substitution Goods
B. Law of demand
C. Price floor
D. Moving along the demand curve
E. Complementary goods
F. Elasticity
G. Consumer surplus
H. Shortage
I. Dead weight loss
J. Price Ceiling
K. Circular flow diagram
L. Shifting demand curve
True or False
1. Goods for which demand tends to fall when income rises are normal goods.
2. The law of supply states that there is a negative relationship between price and quantity supplied. When the price falls, quantity supplied will increase.
3. Television, motorcycles, cars, and sweater were traded goods in input markets.
4. Changes in price of other goods will cause the demand move along the curve.
5. Equilibrium occurs when the demand for goods offered is greater than the requested items.
6. Perfectly inelastic demand is the demand in which the quantity demanded responds at all to a change in price.
7. Surplus occurs when Qd < Qs.
8. The positive cross price elasticity indicates that the goods are substitutes.
9. Price ceiling is charged above the equilibrium.
10. Land, labor, and capital, including into the factors of production.
Multiple Choices
1. Individual demand curve for a commodity states :
a. The maximum limit of the individual's intentions
b. The minimum limit of the individual’s wants
c. Minimum or maximum limits of the individual's intentions
d. Not a minimum or maximum limits of the individual's intentions
2. Decline in the price of a commodity, while other factors are assumed constant, resulting in and referred to as:
a. Increase in demand
b. Reduced demand
c. The increase in quantity demanded
d. Decrease in quantity demanded
3. Household decisions about the quantity of output or a specific product that will be required depends on:

a. Product Price
b. Revenue available
c. Taste
d. All correct answers

4. If the price of a substitute of X falls, the demand for goods X will be....

a. Increase
b. Decline
c. Fixed
d. All incorrect

5. Equilibrium will be achieved when ...

a. Qd > Qs
b. Qd = Qs
c. Qd < Qs
d. Qd ≠ Qs

6. A Price ceiling creates …

a. Excess demand
b. Excess supply
c. Equilibrium
d. Higher price

7. E s for the supply curve in the form of a straight line is positively sloped and cuts the price axis is ...

a. 0
b. 1
c. > 1
d. Constant

8. If the income elasticity of demand greater than one, the goods are included in ...
a. Luxury
b. Third-rater
c. Daily necessities
d. Goods that are not related

9. P Qd




0 Q
What is the elasticity of the picture above?

a. Perfectly Elastic
b. Unitary elastic
c. Perfectly inelastic
d. Inelastic

10. Which of the following items is included an inferior goods:

a. Cassava
b. Apple
c. Plastic mines
d. Premium
Essay
1. Explain:
a. law of demand
b. law of supply
2. What is a market input and output markets? Mention anything that is traded on those markets?
3. Draw and explain the circular flow diagram!
4. Explain this following words and give some example for each goods:

a. Normal goods
b. Inferior goods
c. Substitutes goods
d. Complementary goods

5. What is the slope of:
a. Demand curve
b. Supply curve
Explain graphically!
6. What is the equilibrium? How does its condition occur?
7. The demand function of corn is Qdx=8000-1000Px and the supply function is Qsx=-4000+2000Px. Find the equilibrium and draw it!
8. What is the different between producer surplus and consumer surplus? What’s happened if there is underproduction or overproduction? Explain graphically!
9. What’s happened if either price ceiling or price floor is charged in the market?
10. P
60 A
50 B
40 C
30 D
20 E
10 F
0 100 200 300 400 500 600 Q
Compile a grocery store cake egg demand curve as a function of price Calculate the elasticity of demand using the midpoint formula between points A and B, between points C and D, and between points E and F! Including into what types of elasticity?

Soal Praktikum 1

Aturan Pengerjaan
1. kerjakan soal berikut saja:

• MQ = 1-10
• T/F= 1,2,4,6,8,9 (sebutkan alasan nya, bila anda memilih F (FALSE) )
  
• MC = 1,2,4,9
• Essay = 2,3,4,9

2. Untuk susulan ini, anda akan mendapatkan nilai maksimal 75.
3. jawaban ditulis rapi, pada kertas Folio bergaris.
4. dikumpulkan paling lambat, SENIN (18 Oktober 2010) di boxfile, dengan nama Putri Rahmi
pada pukul 17.00 WIB, lewat dari jam tersebut, dengan sangat berat hati, jawaban anda tidak saya terima :-)
5. Selamat mengerjakan, bila ada kesulitan, silahkan tanya saya di ruang TA. my office hour in monday, start from 14.30 till 17.00 wib.
6. good luck everybody :D

CHAPTER 1 AND 2

SCARCITY AND CHOICES

Matching Questions

1. The economics method that describe of what happening is and how it is happening, doesn’t judge and just see how the people and operation system behave.

2. The economics method that analyze the result of economic behavior and evaluate the policy about how good and how bad. It describes what should be happen rather than what happens.

3. The best alternative that is forgone because of making one decision and giving up another decision.

4. The best way in allocating the resources with the minimum costs and the certain benefits.

5. The additional cost in producing one unit of output.

6. The graph that shows all combination of goods and services produced when all resources are used efficiently.

7. The economic system that has no government intervention and work based on market-economy-system.

8. The idea which stated that the specialization and the free-trade will give a benefit for each trader’s participant, even when there’s an inefficient producer.

9. The idea which stated that a producer still gets a same result in producing goods or services when that producer is able to use the lower resources.

10. The economy which there’s a big government’s role. The government, central-or-local, plans and determines the output, revenue, and prices.

a. Laissez-Faire economy g. Command economy

b. Efficiency h. Normative economics

c. Absolute advantage i. Opportunity Cost

d. Marginal Cost j. Production Possibility Frontier

e. Positive economics k. Comparative advantage

f. Scarcity l. Free-Trade Effect

True-False

1. Economics is study of how individuals and society choose the way to allocate the scarce resources to produce valuable commodities and distribute them among different people.

2. Opportunity cost is also a sunk cost.

3. Microeconomics is a part of economics that concern with the behavior of individual entities such as markets, firms, and households.

4. Positive economics is an economics method that analyzes the result of economic behavior and evaluate the policy about how good and how bad. It describes what should be happen rather that what happens.

5. Economic problem is when the government can’t produce equally among people.

6. Production Possibility Frontier is a graph that shows the all combination of goods and services produced when all resources are used efficiently.

7. Economic growth is when all the societies live welfare and not suffer poverty.

8. The best economic system is Laissez-Faire economy. Because the market will be more efficient without government’s intervention.

9. Marginal Rate of Transformation is a slope of Production Possibility Frontier curve.

10. China is now starting to adopt the market-system for its economy.

Multiple Choices

1. The best alternative that is forgone because of making one decision and giving up another decision :
a. Sunk Cost c. Marginal Cost
b. Opportunity Cost d. Decision Cost

2. The basic questions to analyze economic problems are …..
a. what, why, how c. what, why, for whom
b. how, who, why d. what, how, for whom

3. Instead of working in Insurance Company and earn $300 a month, you decide to take a computer course 7 times a week and pay $35 a month. What is the opportunity cost : (the opportunity cost is depend on what’s your choice)
a. get into computer course b. 7 times a week to take a rest
c. working in Insurance Company c. none of all

4. In 1890, Alfred Marshall released the law of demand that stated :
a. When price increases, the quantity demanded will decrease
b. When price increase, the quantity demanded will increase
c. When the quantity increases, the price will decrease
d. When the quantity decreases, the price will decrease

5. The principle which stated that the irrelevant details are better to be cut and stop being talked is …..
a. Okun’s law c. Economic Principle
b. Adam Smith Invisible Hand d. Ockham’s razor

6. The specialization and the free-trade will give a benefit to all trader’s participant, even there’s an inefficient producer is called an idea of …..
a. The benefit of trade c. absolute advantage
b. comparative advantage d. free-trade effect

7. The process in utilizing the resources to produce new capital and give a return for some periods of time is called :
a. Efficiency c. Production
b. Capital-recovery d. Investment

8. The characteristic of Laissez-Faire economy are the following, except :
a. Based on market system

b. no government intervention
c. the economic decision is planned

d. concern in efficiency rather than equity

9. The economic growth involves things such below, except :
a. growing in total output
b.produce more goods and services within given resources
c. more having a bachelor and master degree among people
d. the increasing of people’s productivity

10. When there’s a limited amount of goods and services relative to the desires of human, its situation is called :
a. scarcity b. economic goods
c. limited-access d. efficiency

Essay

1. What is Economics?

2. What is the different between the opportunity cost, sunk cost, and marginal cost? (give an examples)

3. Why did we study economics?

4. Explain the different between positive and normative economics!

5. Why should there be an assumption of Ceteris Paribus?

6. What is scarcity and choice related to economic problems?

7. Explain about the comparative advantage and absolute advantage!

8. Give the explanation about Laissez-Faire economic system.

9. What is Production Possibility Frontier? (draw the curve)

10. What is Indonesia’s economic system? Explain briefly!