Question 1 1. After wearing seat belts became mandatory, drivers reacted by driving faster and less carefully. This is consistent with what Principle of Economics?Answer trade can make everyone better offthe cost of something is what you give up to get itgovernments can sometimes improve market outcomespeople respond to incentives5 points Question 2 1. The term 'quantity supplied' means _____Answer the same things as 'supply'.the amount of a good that customers need.the amount of a good that consumers ultimately desire.the amount of a good sellers are willing to sell at a given price.5 points Question 3 1. Economists believe that self-sufficiency (no trade) _____Answer is needed, in order to guarantee national security.ensures an equitable distribution of resources.prevents exploitation of the working class, by limiting the power of capitalists.results in lower levels of output and consumption than would prevail under free trade.5 points Question 4 1. Opportunity cost is _____Answer any lost opportunity.the value of the next-best opportunity that one foregoes when making a choice.used to exploit weaker parties to a transaction by stronger parties.the aggregate value of all foregone opportunities.5 points Question 5 1. Economists argue that rent controls carry long-run unintended consequences such as _____Answer a fairer price for people who can't afford market-determined rents.improved quality of apartment units.fewer apartment units as landlords seek substitute uses of their property.a higher cost to landlords who discriminate through non-price criteria.5 points Question 6 1. Other things constant, a lower price for corn tends to decrease _____Answer the supply of corn.the quantity supplied of corn.the demand for corn.the quantity demanded for corn.5 points Question 7 1. Economists study _____Answer the choices individuals make, but not the consequences of their choices.