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Foundations of Macroeconomics 8th Edition by Robin Bade Test bank

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B) positively related.
C) negatively related.
D) directly related.
E) trend-line related.
Answer:  C
Topic:  Negative relationship
Skill:  Level 1: Definition
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills
44) "As the price of gasoline increases, fewer people buy cars that are gas guzzlers." A graph showing this relationship would
A) have a negative slope.
B) have a positive relationship.
C) have a direct relationship.
D) be a horizontal line.
E) be a vertical line.
Answer:  A
Topic:  Negative relationship
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

45) As the number of days without rain increases, the amount of wheat grown per acre declines. A graph showing this relationship shows
A) a horizontal line.
B) a vertical line.
C) a positive relationship.
D) a line with a positive slope.
E) None of the above answers is correct.
Answer:  E
Topic:  Negative relationship
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

46) As the price of home heating oil rises, families buy less home heating oil. Hence a scatter diagram with the price of home heating oil on the vertical axis and the quantity purchased on the horizontal axis reveals a ________ relationship.
A) positive
B) linear
C) time-series
D) negative
E) cross-sectional
Answer:  D
Topic:  Negative relationship
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills
47) If the change in y = -4 and the change in x = 2, there is
A) an independent relationship between y and x.
B) a positive relationship between y and x.
C) a negative relationship between y and x.
D) no relationship between y and x.
E) a relationship between x and y but more information is needed to determine if it is a negative or positive relationship.
Answer:  C
Topic:  Negative relationship
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

48) An independent relationship between two variables is shown in a graph by
A) an upward-sloping line.
B) a horizontal or a vertical line.
C) a downward-sloping line.
D) a steeply sloped line.
E) any straight line curve.
Answer:  B
Topic:  Unrelated variables
Skill:  Level 1: Definition
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

49) If two variables are unrelated, their graph is
A) either a horizontal or a vertical line.
B) a downward-sloping line.
C) an upward-sloping line.
D) a curved line.
E) None of the above answers is correct because it is not possible to graph unrelated variables.
Answer:  A
Topic:  Unrelated variables
Skill:  Level 1: Definition
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills
50) Consider a diagram in which the variable measured on the y-axis remains constant while the variable measured on the x-axis increases. The graph of these two variables is
A) a vertical line.
B) a horizontal line.
C) a line that has positive slope.
D) a line that has a negative slope.
E) non-existent because the two variables are not related.
Answer:  B
Topic:  Unrelated variables
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

51) A graph shows the price of a pound of cucumbers on the vertical axis and the quantity of new cars sold by Honda on the horizontal axis. The price of a pound of cucumbers remains constant as the quantity of new cars sold increases. The graph of these data is a
A) horizontal line.
B) vertical line.
C) curve with a maximum.
D) positively sloped line.
E) negatively sloped line.
Answer:  A
Topic:  Unrelated variables
Skill:  Level 2: Using definitions
Section:  Chapter 1 Appendix - Checkpoint 2
Status:  Old
AACSB:  Analytic skills

52) Matt pays a $50 a month membership fee at Bruno's Gym. He can exercise at the gym as many times as he wishes. If the membership fee is measured along the vertical axis and the number of times he exercises is measured along the horizontal axis, the graph between his membership fee and the number of times he exercises will

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