ECO401 - Quiz No. 5

Question # 15 of 15 ( Start time: 01:20:42 AM ) Total Marks: 1



In the kinked demand curve model, if one firm reduces its price:



Select correct option:







Other firms will also reduce their price



Other firms will compete on a non-price basis



Other firms will raise their price



Both (a) and (b) are correct







Question # 14 of 15 ( Start time: 01:20:21 AM ) Total Marks: 1



A (n) __________ may start a price war in order to get a larger share of the market



Select correct option:







Perfect competitor



Oligopolist



Monopolist



Economist







Question # 13 of 15 ( Start time: 01:19:51 AM ) Total Marks: 1



Goods X and Y are complements while goods X and Z are substitutes. If the supply of good X increases:



Select correct option:







The demand for both Y and Z will increase



The demand for Y will increase while the demand for Z will decrease



The demand for Y will decrease while the demand for Z will increase



The demand for both Y and Z will decrease







Question # 12 of 15 ( Start time: 01:19:18 AM ) Total Marks: 1



From year 2002 to year 2003, personal income rose by $500 billion. If the Marginal Propensity to Consume = 0.9, then personal consumption expenditures rose by:



Select correct option:







$45.0 billion.



$500 billion.



$450 billion.



$50 billion.







Question # 11 of 15 ( Start time: 01:19:00 AM ) Total Marks: 1



Which of the following is a flow variable?



Select correct option:







The value of the house in which you live



The balance in your savings account



Your monthly consumption of hamburgers



The number of hamburgers in your refrigerator at the beginning of the month







Question # 10 of 15 ( Start time: 01:18:39 AM ) Total Marks: 1



According to Classical models, the level of employment is determined primarily by:



Select correct option:







The level of aggregate demand for goods and services.



Prices and wages.



Government taxation.



Government spending.











Question # 9 of 15 ( Start time: 01:18:00 AM ) Total Marks: 1



A schedule which shows the various amounts of a product consumers are willing and able to purchase at each price in a series of possible prices during a specified period of time is called:



Select correct option:







Supply



Demand



Quantity supplied



Quantity demanded







The slope of the saving function (or line) is the:



Select correct option:







Average propensity to save.



Average propensity to consume.



Marginal propensity to save.



Marginal propensity to consume.







Question # 7 of 15 ( Start time: 01:16:52 AM ) Total Marks: 1



In a macroeconomic model, without foreign trade or government spending, aggregate demand is the sum of:



Select correct option:







Personal saving and private investment.



Personal saving and personal consumption.



Personal consumption and personal income.



Personal consumption and private investment.







Question # 6 of 15 ( Start time: 01:16:20 AM ) Total Marks: 1



Potential GDP is an estimate of the economy’s ability to produce goods and services if:



Select correct option:







Labor force is fully employed.



Price level is stable.



Trade balance is zero.



Federal budget is balanced.







Question # 5 of 15 ( Start time: 01:15:47 AM ) Total Marks: 1



In Keynesian economics, an inflationary gap results if:



Select correct option:







Aggregate expenditures are less than aggregate production.



Aggregate expenditures are greater than aggregate production.



Aggregate expenditures are equal to aggregate production.



There are no changes in inventories.







Question # 4 of 15 ( Start time: 01:15:28 AM ) Total Marks: 1



In the long run, competitive firms MUST be profit maximizes, because if they do not maximize profits:



Select correct option:







They will attract new competitors.



They will not be price takers.



The profits that they do earn will only cover variable costs.



They will not survive.







Question # 3 of 15 ( Start time: 01:15:04 AM ) Total Marks: 1



The market structure in which there is interdependence among firms is:



Select correct option:







Monopolistic competition.



Oligopoly.



Perfect competition.



Monopoly.







Question # 2 of 15 ( Start time: 01:14:30 AM ) Total Marks: 1



In which case, total expenditure in an economy is not equal to total income?



Select correct option:







If total saving is larger than total investment.



If net exports are not zero.



If inventory investment is negative.



None of the given options--they are always equal.







Question # 1 of 15 ( Start time: 01:14:06 AM ) Total Marks: 1



According to the classical economists, those who are not working:



Select correct option:







Are unable to find a job at the current wage rate.



Are too productive to be hired at the current wage.



Have choosen not to work at the market wage.



Have given up looking for a job, but would accept a job at the current wage if one were offered to them.

Question # 1 of 15 Total Marks: 1

The gold standard was an example of what kind of exchange-rate system?

Select correct option:





A freely floating exchange rate.

A managed floating exchange rate.

A fixed exchange rate.

A non-convertible exchange rate.







Question # 2 of 15 ( Total Marks: 1

Many economists and government analysts have investigated the effect of a minimum wage on labour markets. The general conclusion reached by the investigators is that:

Select correct option:



The overall effect of the minimum wage is an increase in the unemployment level.

Teenagers gain most of the beneficial employment effects of the minimum wage.

All industries are equally affected by the minimum wage laws.

Over a period of time, the minimum wage laws will increase employment in the economy.





Question # 3 of 15 1

When the marginal revenue product is greater than the marginal input cost of labor, the profit maximizing firm will:

Select correct option:



Hire more

Hire less

Maintain the same employment

Decrease output





Question # 4 of 15 ( Start time: 02:38:10 PM ) Total Marks: 1

This market situation is much like a pure monopoly except that its member firms tend to cheat on agreed upon price and output strategies. What is it?

Select correct option:





Duopol

Cartel

Market sharing monopoly

Natural monopoly





Question # 5 of 15 Total Marks: 1

In a free-market economy the allocation of resources is determined by:

Select correct option:







Votes taken by consumers

A central planning authority

By consumer preferences

The level of profits of firms





Question # 6 of 15 Total Marks: 1

The war in Iraq sent oil prices spiraling upwards, resulting in an increase in the overall price level. This is an example of which type of inflation?

Select correct option:





Cost-pull

Cost-push.

Demand-pull.

Demand-push.





Question # 7 of 15 Total Marks: 1

Assume that the current market price is below the market clearing level. We would expect:

Select correct option:



A surplus to accumulate.

Downward pressure on the current market price.

Upward pressure on the current market price.

Lower production during the next time period.





Question # 8 of 15 ( Total Marks: 1

If a firm operates in a perfectly competitive market, then it will most likely:

Select correct option:





Advertise its product on television.

Have difficult time obtaining information about the market price.

Settle for whatever price is offered.

Have an easy time keeping other firms out of the market.



Question # 9 of 15 Total Marks: 1

Keynes advocated demand-side policies to lift the economy out of that equilibrium towards full employment.

Select correct option:



True

False









Question # 10 of 15 Total Marks: 1

In Keynesian economics, equilibrium can occur:

Select correct option:



Only at full employment.

Only at levels less than full employment.

Only at levels greater than full employment.

At any level of aggregate output equal to aggregate expenditures.





Question # 11 of 15 Total Marks: 1

Which of the following events shifts the short-run aggregate supply curve to the right?

Select correct option:







A decrease in the money supply

A drop in oil prices

An increase in government spending on military equipment

An increase in price expectations





Question # 13 of 15 Total Marks: 1

Assume that steak and potatoes are complements. When the price of steak goes up, the demand curve for potatoes:

Select correct option:







Shifts to the left.

Shifts to the right.

Remains constant.

Shifts to the right initially and then returns to its original position.





Question # 14 of 15 Total Marks: 1

When the price of petrol rises 10%, the quantity of petrol purchased falls by 8%. The demand for petrol is:

Select correct option:







Perfectly elastic

Unit elastic

Elastic

Inelastic



Question # 15 of 15 Total Marks: 1

Inflation:

Select correct option:







Reduces both the purchasing power of the dollar and one's real income.



Reduces the purchasing power of the dollar and increases one's real income.



Reduces the purchasing power of the dollar but may have no impact on one's real income.

Increases the purchasing power of the dollar and reduces one's real income.

Question # 1 of 15 ( Start time: 07:21:13 PM ) Total Marks: 1

According to Classical models, the level of employment is determined primarily by:

Select correct option:







The level of aggregate demand for goods and services.



Prices and wages.



Government taxation.



Government spending.





Question # 2 of 15 ( Start time: 07:22:36 PM ) Total Marks: 1

Marginal utility is best described as:

Select correct option:







The additional satisfaction gained by consumption of the last good



The per unit satisfaction of the good consumed



The total satisfaction gained from the total consumption of the good



The change in satisfaction from consuming one additional unit of the good







Question # 3 of 15 ( Start time: 07:23:34 PM ) Total Marks: 1

A market with few entry barriers and with many firms that sell differentiated products is known as:

Select correct option:







Purely competitive



A monopoly



Monopolistically competitive



Oligopolistic





Question # 4 of 15 ( Start time: 07:25:00 PM ) Total Marks: 1

If the cost of computer components falls, then

Select correct option:







The demand curve for computers shifts to the right.



The demand curve for computers shifts to the left.



The supply curve for computers shifts to the right



The supply curve for computers shifts to the left





Question # 5 of 15 ( Start time: 07:25:54 PM ) Total Marks: 1

In a free-market economy the allocation of resources is determined by:

Select correct option:







Votes taken by consumers.



A central planning authority.



By consumer preferences.



The level of profits of firms.





Question # 6 of 15 ( Start time: 07:26:11 PM ) Total Marks: 1

The numerical measurement of a consumer’s preference is called:

Select correct option:







Satisfaction



Use



Pleasure



Utility





Question # 7 of 15 ( Start time: 07:26:55 PM ) Total Marks: 1

Final goods are meant for:

Select correct option:







Direct use by the consumers



further processing



The term do not exist



None





Question # 8 of 15 ( Start time: 07:27:24 PM ) Total Marks: 1

The AD Curve is downward sloping because of all of the following reasons except that:

Select correct option:







The Fed raises real interest rates as inflation increases



The Fed raises nominal interest rates as inflation rises



The Fed intentionally tries to reduce the level of aggregate demand when inflation rises.



The Fed intentionally tries to increase the level of output as unemployment increases





Question # 9 of 15 ( Start time: 07:28:12 PM ) Total Marks: 1

In monopolist market, a new entrant firm should produce where:

Select correct option:







Marginal Cost < style="margin-top: 0px; margin-right: 0px; margin-bottom: 0px; margin-left: 0px; padding-top: 0px; padding-right: 0px; padding-bottom: 0px; padding-left: 0px; ">

Marginal Cost > Marginal Revenue.



Marginal Cost = Marginal Revenue.



Marginal Cost = Average Revenue.





Question # 10 of 15 ( Start time: 07:29:41 PM ) Total Marks: 1

Which of the following events shifts the short-run aggregate supply curve to the right?

Select correct option:







A decrease in the money supply



A drop in oil prices



An increase in government spending on military equipment



An increase in price expectations





Question # 11 of 15 ( Start time: 07:30:08 PM ) Total Marks: 1

The trend of unemployment over the last forty years is:

Select correct option:







A decrease in unemployment.



It has remained largely unchanged.



An increase in unemployment.



It is too difficult to tell so don't bother.





Question # 12 of 15 ( Start time: 07:31:16 PM ) Total Marks: 1

A firm never operates:

Select correct option:







At the minimum of its average total cost curve.



At the minimum of its average variable cost curve.



On the downward-sloping portion of its average total cost curve.



On the downward-sloping portion of its average variable cost curve.





Question # 13 of 15 ( Start time: 07:31:34 PM ) Total Marks: 1

Growth rate of per capita income is equal to:

Select correct option:







Growth rate of total output - Growth rate of population.



Growth rate of total output / Growth rate of population.



Growth rate of population / Growth rate of total output.



Growth rate of total output + Growth rate of population.





Question # 14 of 15 ( Start time: 07:32:28 PM ) Total Marks: 1

If a firm operates in a perfectly competitive market, then it will most likely:

Select correct option:







Advertise its product on television.



Have difficult time obtaining information about the market price.



Settle for whatever price is offered.



Have an easy time keeping other firms out of the market.





Question # 15 of 15 ( Start time: 07:33:33 PM ) Total Marks: 1

Current account deficit is equal to:

Select correct option:







Private sector resource deficit.



Government budget deficit.



Private sector resource deficit + Government budget deficit.



None of the given options.

Question # 1 of 15 ( Start time: 07:21:13 PM ) Total Marks: 1



According to Classical models, the level of employment is determined primarily by:



Select correct option:















The level of aggregate demand for goods and services.







Prices and wages.







Government taxation.







Government spending.











Question # 2 of 15 ( Start time: 07:22:36 PM ) Total Marks: 1



Marginal utility is best described as:



Select correct option:















The additional satisfaction gained by consumption of the last good







The per unit satisfaction of the good consumed







The total satisfaction gained from the total consumption of the good







The change in satisfaction from consuming one additional unit of the good















Question # 3 of 15 ( Start time: 07:23:34 PM ) Total Marks: 1



A market with few entry barriers and with many firms that sell differentiated products is known as:



Select correct option:















Purely competitive







A monopoly







Monopolistically competitive







Oligopolistic











Question # 4 of 15 ( Start time: 07:25:00 PM ) Total Marks: 1



If the cost of computer components falls, then



Select correct option:















The demand curve for computers shifts to the right.







The demand curve for computers shifts to the left.







The supply curve for computers shifts to the right







The supply curve for computers shifts to the left











Question # 5 of 15 ( Start time: 07:25:54 PM ) Total Marks: 1



In a free-market economy the allocation of resources is determined by:



Select correct option:















Votes taken by consumers.







A central planning authority.







By consumer preferences.







The level of profits of firms.











Question # 6 of 15 ( Start time: 07:26:11 PM ) Total Marks: 1



The numerical measurement of a consumer’s preference is called:



Select correct option:















Satisfaction







Use







Pleasure







Utility











Question # 7 of 15 ( Start time: 07:26:55 PM ) Total Marks: 1



Final goods are meant for:



Select correct option:















Direct use by the consumers







further processing







The term do not exist







None











Question # 8 of 15 ( Start time: 07:27:24 PM ) Total Marks: 1



The AD Curve is downward sloping because of all of the following reasons except that:



Select correct option:















The Fed raises real interest rates as inflation increases







The Fed raises nominal interest rates as inflation rises







The Fed intentionally tries to reduce the level of aggregate demand when inflation rises.







The Fed intentionally tries to increase the level of output as unemployment increases











Question # 9 of 15 ( Start time: 07:28:12 PM ) Total Marks: 1



In monopolist market, a new entrant firm should produce where:



Select correct option:















Marginal Cost <>







Marginal Cost > Marginal Revenue.







Marginal Cost = Marginal Revenue.







Marginal Cost = Average Revenue.











Question # 10 of 15 ( Start time: 07:29:41 PM ) Total Marks: 1



Which of the following events shifts the short-run aggregate supply curve to the right?



Select correct option:















A decrease in the money supply







A drop in oil prices







An increase in government spending on military equipment







An increase in price expectations











Question # 11 of 15 ( Start time: 07:30:08 PM ) Total Marks: 1



The trend of unemployment over the last forty years is:



Select correct option:















A decrease in unemployment.







It has remained largely unchanged.







An increase in unemployment.







It is too difficult to tell so don't bother.











Question # 12 of 15 ( Start time: 07:31:16 PM ) Total Marks: 1



A firm never operates:



Select correct option:















At the minimum of its average total cost curve.







At the minimum of its average variable cost curve.







On the downward-sloping portion of its average total cost curve.







On the downward-sloping portion of its average variable cost curve.











Question # 13 of 15 ( Start time: 07:31:34 PM ) Total Marks: 1



Growth rate of per capita income is equal to:



Select correct option:















Growth rate of total output - Growth rate of population.







Growth rate of total output / Growth rate of population.







Growth rate of population / Growth rate of total output.







Growth rate of total output + Growth rate of population.











Question # 14 of 15 ( Start time: 07:32:28 PM ) Total Marks: 1



If a firm operates in a perfectly competitive market, then it will most likely:



Select correct option:















Advertise its product on television.







Have difficult time obtaining information about the market price.







Settle for whatever price is offered.







Have an easy time keeping other firms out of the market.











Question # 15 of 15 ( Start time: 07:33:33 PM ) Total Marks: 1



Current account deficit is equal to:



Select correct option:















Private sector resource deficit.







Government budget deficit.







Private sector resource deficit + Government budget deficit.







None of the given options.

Question # 1 of 15 ( Start time: 06:33:58 PM ) Total Marks: 1

When the demand curve is downward sloping, marginal revenue is:

Select correct option:



Equal to price.



Equal to average cost.



Less than price.



More than price.

Question # 2 of 15 ( Start time: 06:34:43 PM ) Total Marks: 1

When an industry's raw material costs increase, other things remaining the same:

Select correct option:



The supply curve shifts to the left.



The supply curve shifts to the right.



Output increases regardless of the market price and the supply curve shifts upward.



Output decreases and the market price also decrease.

Question # 3 of 15 ( Start time: 06:35:30 PM ) Total Marks: 1

Final goods are meant for:

Select correct option:



Direct use by the consumers



further processing



The term do not exist



None

Question # 4 of 15 ( Start time: 06:35:58 PM ) Total Marks: 1

Goods X and Y are complements while goods X and Z are substitutes. If the supply of good X increases:

Select correct option:



The demand for both Y and Z will increase



The demand for Y will increase while the demand for Z will decrease



The demand for Y will decrease while the demand for Z will increase



The demand for both Y and Z will decrease

Question # 5 of 15 ( Start time: 06:36:36 PM ) Total Marks: 1

According to the model of aggregate supply and aggregate demand, in the long run, an increase in the money supply should cause

Select correct option:



Prices to rise and output to rise.



Prices to fall and output to remain unchanged



Prices to fall and output to fall.



Prices to rise and output to remain unchanged

Question # 6 of 15 ( Start time: 06:37:19 PM ) Total Marks: 1

Marginal utility is best described as:

Select correct option:



The additional satisfaction gained by consumption of the last good



The per unit satisfaction of the good consumed



The total satisfaction gained from the total consumption of the good



The change in satisfaction from consuming one additional unit of the good

Question # 7 of 15 ( Start time: 06:37:44 PM ) Total Marks: 1

If firms in a competitive industry are experiencing losses in the short run, then:

Select correct option:



The firms will try to raise prices.



Some firms will choose to shut down.



The industry will cease to exist.



New firms will enter the industry.

Question # 8 of 15 ( Start time: 06:38:17 PM ) Total Marks: 1

Which of the following is not a stock variable?

Select correct option:



Government debt



The labor force



The amount of money held by the public



Inventory investment

Question # 9 of 15 ( Start time: 06:38:42 PM ) Total Marks: 1

An exchange rate that has an officially fixed value less than its fundamental value is called a(n) _______ exchange rate.

Select correct option:



Devalued.



Revalued.



Depreciated.



Undervalued.

Question # 10 of 15 ( Start time: 06:39:08 PM ) Total Marks: 1

Which of the following would cause the short run aggregate supply curve to shift to the left, but have no effect over the long run aggregate supply?

Select correct option:



The amount of factors of production (such as labor and capital) increase



The amount of factors of production (such as labor and capital) decrease



Prices of inputs (such as wages or oil prices) increase



Prices of inputs (such as wages or oil prices) decrease

Question # 11 of 15 ( Start time: 06:39:32 PM ) Total Marks: 1

Indifference curves that are convex to the origin reflect:

Select correct option:



An increasing marginal rate of substitution.



A decreasing marginal rate of substitution.



A constant marginal rate of substitution.



A marginal rate of substitution that first decreases, then increases.

Question # 12 of 15 ( Start time: 06:39:49 PM ) Total Marks: 1

The figure that results when goods imports are subtracted from goods exports is:

Select correct option:



The capital account balance.



The balance of trade.



Always greater than zero.



Always less than zero.

Question # 13 of 15 ( Start time: 06:40:12 PM ) Total Marks: 1

In the equation MV = PQ, according to the crude quantity theory of money:

Select correct option:



M has no effect on the price level.



V is the number of times each dollar is spent per year.



Q is the real price level.



P rises as V falls, other things constant.

Question # 14 of 15 ( Start time: 06:40:32 PM ) Total Marks: 1

Fiscal policy is the government program with respect to its:

Select correct option:



Steel Mill Privatization.



Unemployment reduction.



Expenditure and tax revenue.



Increase in unemployment.

Question # 15 of 15 ( Start time: 06:40:54 PM ) Total Marks: 1

In the classical model, given an initial aggregate equilibrium at full employment, the long run effect of an increase in government spending is;

Select correct option:



An increase in the price level



An upward shift of the aggregate demand curve



A constant level of output



All of the above

ECO401 – Economics

Online Quiz # 5

February 15, 2010



Total questions: 15



Question # 1 of 15 ( Start time: 09:37:50 PM ) Total Marks: 1

Economic activity moves from a trough into a period of _______until it reaches a _____ and then into a period of _______.

Select correct option:

Expansion; trough; recession.

Recession; trough; expansion.

Expansion; peak; recession.

Recession; peak; expansion.





Question # 2 of 15 ( Start time: 09:39:03 PM ) Total Marks: 1

If a Japanese radio priced at 2,000 yen can be purchased for $10, the exchange rate is:

Select correct option:

200 yen per dollar.

20 yen per dollar.

20 dollars per yen.

None of the given options.





Question # 3 of 15 ( Start time: 09:39:58 PM ) Total Marks: 1

A tax on the accounting profits of corporations is known as:

Select correct option:

Sales tax.

Excise tax.

Corporate income tax.

Personal income tax.





Question # 4 of 15 ( Start time: 09:41:10 PM ) Total Marks: 1

Which of the following statements describes increasing returns to scale:

Select correct option:

Doubling the inputs used leads to double the output.

Increasing the inputs by 50% leads to a 25% increase in output.

Increasing inputs by 1/4 leads to an increase in output of 1/3.

None of the given options.





Question # 5 of 15 ( Start time: 09:41:54 PM ) Total Marks: 1

An individual with a constant marginal utility of income will be:

Select correct option:

Risk averse.

Risk neutral.

Risk loving.

Insufficient information for a decision.





Question # 6 of 15 ( Start time: 09:43:09 PM ) Total Marks: 1

A ***** of modern economists who believe that markets clear very rapidly and that expanding the money supply will always increase prices rather than employment are the:

Select correct option:

Keynesians

Monetarists

New Classical school

Post-Keynesians





Question # 7 of 15 ( Start time: 09:44:29 PM ) Total Marks: 1

Real GDP:

Select correct option:

Is nominal GDP adjusted for changes in the price level.

Is also called nominal GDP.

Measures GDP minus depreciation of capital.

Will always change when prices change.





Question # 8 of 15 ( Start time: 09:44:58 PM ) Total Marks: 1

In the equation MV = PQ, according to the crude quantity theory of money:

Select correct option:

M has no effect on the price level.

V is the number of times each dollar is spent per year.

Q is the real price level.

P rises as V falls, other things constant.





Question # 9 of 15 ( Start time: 09:46:23 PM ) Total Marks: 1

Which one of the following is most likely to lead to an increase in aggregate demand? An increase in:

Select correct option:

Government tax revenues

Household savings

Business capital investment

Demand for imports





Question # 10 of 15 ( Start time: 09:46:53 PM ) Total Marks: 1

When the demand curve is downward sloping, marginal revenue is:

Select correct option:

Equal to price.

Equal to average cost.

Less than price.

More than price.





Question # 11 of 15 ( Start time: 09:47:59 PM ) Total Marks: 1

Which of the following is not an assumption of ordinal utility analysis?

Select correct option:

Consumers are consistent in their preference.

Consumers can measure the total utility received from any given basket of good.

Consumers are non-satiated with respect to the goods they confront.

All are necessary.





Question # 12 of 15 ( Start time: 09:49:22 PM ) Total Marks: 1

To make the equation of exchange into the quantity theory of money:

Select correct option:

V and Q are assumed to be constant.

The money supply is assumed to be produced by the banking system and not exclusively in currency.

The quantity of money is assumed to determine the amount of Real GDP.

M and P are considered constant.





Question # 13 of 15 ( Start time: 09:50:44 PM ) Total Marks: 1

The marginal rate of substitution is equal to the:

Select correct option:

Magnitude of the slope of the indifference curve

Relative price

Marginal cost of each good

Slope of the budget line





Question # 14 of 15 ( Start time: 09:51:07 PM ) Total Marks: 1

The investment demand curve shows the relationship between the levels of:

Select correct option:

Investment and consumption.

Consumption and interest rate.

Investment and interest rate.

Investment and saving.





Question # 15 of 15 ( Start time: 09:51:46 PM ) Total Marks: 1

According to economy is always at full employment level. Economy would automatically find the new equilibrium in the short run.

Select correct option:

True

False

ECO401 – Economics

Online Quiz # 5

February 16, 2010



Total questions: 15



Question # 1 of 15 ( Start time: 06:43:49 PM ) Total Marks: 1

Which of the following statements describes increasing returns to scale:

Select correct option:

Doubling the inputs used leads to double the output.

Increasing the inputs by 50% leads to a 25% increase in output.

Increasing inputs by 1/4 leads to an increase in output of 1/3.

None of the given options.





Question # 2 of 15 ( Start time: 06:44:19 PM ) Total Marks: 1

Many economists and government analysts have investigated the effect of a minimum wage on labour markets. The general conclusion reached by the investigators is that:

Select correct option:

The overall effect of the minimum wage is an increase in the unemployment level.

Teenagers gain most of the beneficial employment effects of the minimum wage.

All industries are equally affected by the minimum wage laws.

Over a period of time, the minimum wage laws will increase employment in the economy.





Question # 3 of 15 ( Start time: 06:45:37 PM ) Total Marks: 1

An economist will define the exchange rate between two currencies as the:

Select correct option:

Amount of one currency that must be paid in order to obtain one unit of another currency.

Difference between total exports and total imports within a country.

Price at which the sales and purchases of foreign goods takes place.

Ratio of import prices to export prices for a particular country.





Question # 4 of 15 ( Start time: 06:47:03 PM ) Total Marks: 1

The kinked demand curve model is based on the assumption that each firm:

Select correct option:

Considers its rival's output to be fixed

Considers its rival's price to be fixed

Believes rivals will match all price changes

None of the given options





Question # 5 of 15 ( Start time: 06:48:26 PM ) Total Marks: 1

Which of the following is a flow variable?

Select correct option:

The value of the house in which you live

The balance in your savings account

Your monthly consumption of hamburgers

The number of hamburgers in your refrigerator at the beginning of the month





Question # 6 of 15 ( Start time: 06:49:40 PM ) Total Marks: 1

Indifference curves that are convex to the origin reflect:

Select correct option:

An increasing marginal rate of substitution.

A decreasing marginal rate of substitution.

A constant marginal rate of substitution.

A marginal rate of substitution that first decreases, then increases.





Question # 7 of 15 ( Start time: 06:50:39 PM ) Total Marks: 1

Which of the following is the Fisher Equation of Exchange?

Select correct option:

MT=PV.

VT=PM.

MV=PQ.

MY=VP.





Question # 8 of 15 ( Start time: 06:52:02 PM ) Total Marks: 1

Which of the following is NOT an account in the balance of payments?

Select correct option:

Capital account.

Financial account.

Current account.

Future account.





Question # 9 of 15 ( Start time: 06:52:49 PM ) Total Marks: 1

The economics news on the television reports that the dollar has strengthened relative to the Japanese yen. This means that:

Select correct option:

The dollar can now purchase more yen.

The US trade balance with the Japanese economy has improved.

The yen can now purchase more dollars.

The dollar has depreciated relative to the yen.





Question # 10 of 15 ( Start time: 06:54:00 PM ) Total Marks: 1

The cross elasticity of demand of complements goods is:

Select correct option:

Less than 0.

Equal to 0.

Greater than 0.

Between 0 and 1.





Question # 11 of 15 ( Start time: 06:55:25 PM ) Total Marks: 1

A government wishing to reduce a deficit on the current account of their balance of payments through the use of fiscal policy would be most likely to:

Select correct option:

Raise direct taxation.

Introduce an import quota.

Reduce the rate of value added tax on all goods and services.

Raise interest rates.





Question # 12 of 15 ( Start time: 06:56:47 PM ) Total Marks: 1

Under New Classical macroeconomics monetary policy:

Select correct option:

Affects the level of equilibrium output

Affects the composition of equilibrium output

Affects both the level and composition of equilibrium output

None of the given options





Question # 13 of 15 ( Start time: 06:58:13 PM ) Total Marks: 1

The relationship between consumer spending and income is known as the:

Select correct option:

45-degree line.

Consumption function.

Investment function.

Consumer price index.





Question # 14 of 15 ( Start time: 06:59:14 PM ) Total Marks: 1

In the Keynesian cross model, the 45-degree line has a slope of:

Select correct option:

1.

0.

45.

Infinity.





Question # 15 of 15 ( Start time: 07:00:19 PM ) Total Marks: 1

If disposable income increases from $5 trillion to $6 trillion and, as a result, consumption expenditure increases from $7 trillion to $7.8 trillion, the Marginal Propensity to Consume is:

Select correct option:

1.0.

0.8.

5/7 = 0.71.

6/7.8 = 0.77.

ECO401 – Economics

Online Quiz # 5

February 15, 2010



Total questions: 15



Question # 1 of 15 ( Start time: 09:05:50 PM ) Total Marks: 1

In a free-market economy the allocation of resources is determined by:

Select correct option:

Votes taken by consumers

A central planning authority

By consumer preferences

The level of profits of firms



Question # 2 of 15 ( Start time: 09:06:10 PM ) Total Marks: 1

The point at which AC intersects MC is where:

Select correct option:

AC is decreasing.

MC is at its minimum.

AC is at its minimum.

AC is at its maximum.

(not 100% sure, but according to me option # 3 is correct)





Question # 3 of 15 ( Start time: 09:07:32 PM ) Total Marks: 1

More output could be produced with available resources if:

Select correct option:

Resources are allocated efficiently

Resources are imperfectly shiftable among alternative uses

Prices are reduced

The economy is operating at a point inside the production possibilities curve.





Question # 4 of 15 ( Start time: 09:08:28 PM ) Total Marks: 1

Final goods are meant for:

Select correct option:

Direct use by the consumers

further processing

The term do not exist

None





Question # 5 of 15 ( Start time: 09:08:42 PM ) Total Marks: 1

The marginal rate of substitution is equal to the:

Select correct option:

Magnitude of the slope of the indifference curve

Relative price

Marginal cost of each good

Slope of the budget line





Question # 7 of 15 ( Start time: 09:10:49 PM ) Total Marks: 1

Monopolistically competitive firms have monopoly power because they:

Select correct option:

Face downward sloping demand curves.

Are great in number.

Have freedom of entry.

Are free to advertise.





Question # 8 of 15 ( Start time: 09:11:44 PM ) Total Marks: 1

An exchange rate that varies according to the supply and demand for the currency in the foreign exchange market is called a(n) _________ exchange rate.

Select correct option:

Overvalued.

Undervalued.

Fixed.

Flexible.





Question # 9 of 15 ( Start time: 09:13:01 PM ) Total Marks: 1

The figure that results when goods imports are subtracted from goods exports is:

Select correct option:

The capital account balance.

The balance of trade.

Always greater than zero.

Always less than zero.





Question # 10 of 15 ( Start time: 09:13:53 PM ) Total Marks: 1

In the United States, the M1 money supply consists of:

Select correct option:

Paper currency and coins.

Paper currency, coins and check- writing deposits.

Paper currency, coins, check- writing deposits and savings deposits.

Paper currency, coins, check- writing deposits, savings deposits and certificates of deposits.





Question # 11 of 15 ( Start time: 09:15:18 PM ) Total Marks: 1

When the price of petrol rises 10%, the quantity of petrol purchased falls by 8%. The demand for petrol is:

Select correct option:

Perfectly elastic

Unit elastic

Elastic

Inelastic





Question # 12 of 15 ( Start time: 09:16:29 PM ) Total Marks: 1

A new technology which reduces costs for firms’:

Select correct option:

Shifts the supply curve to the right

Shifts the supply curve to the left

Reduces the equilibrium quantity

Raises the equilibrium price





Question # 13 of 15 ( Start time: 09:16:46 PM ) Total Marks: 1

Suppose that a farmer grows wheat and sells it to a baker for $1, the baker makes bread and sells it to a store for $2, and the store sells it to the customer for $3. This transaction increases GDP by:

Select correct option:

$1.

$2.

$3.

$6.





Question # 14 of 15 ( Start time: 09:17:58 PM ) Total Marks: 1

The concept of a risk premium applies to a person that is:

Select correct option:

Risk averse

Risk neutral

Risk loving

All of the given options





Question # 15 of 15 ( Start time: 09:18:57 PM ) Total Marks: 1

''Capital widening'' means:

Select correct option:

More capital and more labour, but with the same amount of capital per unit of labour.

More capital per unit of labour.

Increasing the usage of existing capital.

Importing capital from the developed world.

Fin623 - Solutions

click, for large view

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Mgt613 POMA GDB Solution

Solution:

TOOLS

1. Flow chart
2. Histograms
3. Statistical process control (SPC)
4. Scatter diagram
5. Cause and Effect Diagram

_______________________________________________
Following are some of the quality problems that operations managers often have to face regardless a manufacturing or a service organization. You are required to identify which quality improving tool would be helpful in determining their problems exactly and provide a clear picture of the scenario:

First one is done for you.




Problems
Tools

1
A manager wants to display a wall chart in the meeting room to help identifying the processes and facilities flow.
Flow chart

2
A manager needs to check the rate of occurrence (central tendency and dispersion of data) of a particular quality problem found in the assembly line over a period of time.


3
Reason of a variation in the diameter of yarn might be due to the mechanical fault and raw material. Manager wants to know the relationship between these variables to see which one has a strong correlation with the problem.


4
Operations manager of an Airline wants to identify all the possible causes of delays in flight.


5
The causes of flight delays are identified and the operations manager wants to decide which problem should be addressed first.























Read the instructions carefully before sending your comments:

1. Use the font style “Times New Roman” and font size “12”.
2. You are just required to identify the tool that can be used in the particular scenario.
3. You should post your comments on the GDB & not on the Regular MDB. Both will run parallel to each other during the time specified above.
4. Try to understand the each scenario and identify the correct tool to be used.
5. Books, websites and other reading material may be consulted before posting your comments.
6. You can not participate in the discussion more than once.
7. Obnoxious or ignoble comments should strictly be avoided.
8. The GDB will open and close at above specified date and time. Please note that no grace day and extra time is given for GDB.
9. You can not participate in the discussion after the due date or through e-mail.

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CS001 solution

Q1. Compare the following with examples.

1. Active and Inactive window

When you are doing more than one thing at a time on your computer, you have different windows on the desktop showing you what you are doing. The one you are using at that very moment is the 'Active' window, and all of the others are the 'inactive' windows.

2. File and Folder

File or folder is other terms used for file folders, but file folders is a common name for the item in the United States. Manila folders are likely the most common, but file folders come in many different forms. In the United States, letter and legal sizes are common.

3. Resizing and restoring window

Resizing and restoring windows are similar but different tasks.

Resizing a window is likely self explanatory - you can make the window larger or smaller, and you can resize the window vertically, horizontally, or a combination of the two.

Restoring windows, however, does not allow you to do the same thing. Restoring the window reverts the window to its previous location and size if you have either minimized or maximized the window.

4. Folder tree and Window explorer

Folder tree

A folder tree with support for drag and drop. Rearrange the nodes in the tree by dragging and dropping them like you do with folders in a file manager or in a mail program (Outlook, Thunderbird etc.). Ajax is used to send the new structure to the server.

Window explorer

Is a file manager application that is included with releases of the Microsoft Windows operating system from Windows 95 onwards It provides a graphical user interface for accessing the file systems. It is also the component of the operating system that presents the user interface on the monitor and enables the user to control the computer. It is sometimes referred to as the Windows Shell, or simply “Explorer”.

5. Shutting down and Restarting computer

shutting down turns it off unstill you turn it back on restarting turns it off for a few seconds then automatically turns it back on.

Q2. What is system tray? What is its use?

In Windows the System tray is usually found on the right hand side of the taskbar bar. It contains icons like the clock, volume adjuster, networking connection, antivirus. Programs that tend to always be running sit in here and don’t take up room on the normal taskbar.

Messages can pop up from here as well saying things are out of date and need updating, or you have lost your network connection.

To adjust some of the settings in Vista you can right click the task bar, click properties, click notification area

by VUsolutions

CS001 solution

Q1. Compare the following with examples.

1. Active and Inactive window

When you are doing more than one thing at a time on your computer, you have different windows on the desktop showing you what you are doing. The one you are using at that very moment is the 'Active' window, and all of the others are the 'inactive' windows.

2. File and Folder

File or folder is other terms used for file folders, but file folders is a common name for the item in the United States. Manila folders are likely the most common, but file folders come in many different forms. In the United States, letter and legal sizes are common.

3. Resizing and restoring window

Resizing and restoring windows are similar but different tasks.

Resizing a window is likely self explanatory - you can make the window larger or smaller, and you can resize the window vertically, horizontally, or a combination of the two.

Restoring windows, however, does not allow you to do the same thing. Restoring the window reverts the window to its previous location and size if you have either minimized or maximized the window.

4. Folder tree and Window explorer

Folder tree

A folder tree with support for drag and drop. Rearrange the nodes in the tree by dragging and dropping them like you do with folders in a file manager or in a mail program (Outlook, Thunderbird etc.). Ajax is used to send the new structure to the server.

Window explorer

Is a file manager application that is included with releases of the Microsoft Windows operating system from Windows 95 onwards It provides a graphical user interface for accessing the file systems. It is also the component of the operating system that presents the user interface on the monitor and enables the user to control the computer. It is sometimes referred to as the Windows Shell, or simply “Explorer”.

5. Shutting down and Restarting computer

shutting down turns it off unstill you turn it back on restarting turns it off for a few seconds then automatically turns it back on.

Q2. What is system tray? What is its use?

In Windows the System tray is usually found on the right hand side of the taskbar bar. It contains icons like the clock, volume adjuster, networking connection, antivirus. Programs that tend to always be running sit in here and don’t take up room on the normal taskbar.

Messages can pop up from here as well saying things are out of date and need updating, or you have lost your network connection.

To adjust some of the settings in Vista you can right click the task bar, click properties, click notification area

by VUsolutions

Eng201 solution

Q No.1 Punctuate the following sentences correctly:

 There are three choices in this life: Be good, get good or give up.
 How wonderful this news is!
 Levin wanted friendship and got friendliness. He wanted steak and they offered Spam.
 Where are you going right now?
 Our labors in life learning, earning and yearning are also our reasons for living.


Write a detailed note on listening skill and how you can be a better listener.

Marking Scheme
Definition and explanation of listening:
Types of listening: How to be a better listener:

Definition
Listening can be simply defined as “accurate perception of what is being communicated”. Accuracy is never 100% because of the different perception of individuals.
Dumont and Lennon has defined it as Listening is the complex and selective process of Receiving, Focusing, Deciphering, Accepting and storing.
Listening take place only when all the process are present:

Explanation.
 Receiving means hearing
 Focusing means paying attention to the solution
 Deciphering means decoding the words received or focused upon
 Accepting means interpreting the message as intended by the speaker.
 Storing means putting the accepted message as decoding by the speaker.

It should be remembered that sound or voice that we receive is not ‘Listening’. Sometime we ‘hear’ something but don’t ‘listen’ anything. Consequently listening plus understanding some message and storing it in mind for future reference.

Types of listening
Good listening requires omission of personal biases as well as distractions. With positive attitude and active involvement, through summaries and evaluation, we can have fruitful listening experience.
There are many names for different types of listening.

 Active listening: Listening in a way that demonstrates interest and encourages continued speaking.

 Appreciative listening: Looking for ways to accept and appreciate the other person through what they say. Seeking opportunity to praise.
 Alternatively listening to something for pleasure, such as to music

 Critical listening: Listening in order to evaluate, criticize or otherwise pass judgment on what someone else says.

 Dialogic listenining: Finding meaning through conversational exchange, asking for clarity and testing understanding

 Empathetic listening: Seeking to understand what the other person is feeling.

 Reflective listening: Listening, and then reflecting back to the other person what they have said.

 Partial listening: Listening most of the time but also spending some time day-dreaming or thinking of a response

 Therapeutic listening: Seeking to understand what the other person is feeling.

 Total listening: Paying very close attention in active listening to what is said and the deeper meaning found through how it is said.

 Whole – person listening: Seeking to understand the person, their personality and their real and unspoken meanings and motivators.

How to be a better listener
Listening is a purposeful activity. It should not happen but should make it happen. We listen to gain information, question and test evidence to be inspired our own achieved by following these suggestions to improve listening:

Be prepared
Before attending the students of a class should complete their reading and assignments, and outside listeners should learn something about the speaker, the topic, the audience and the situation.

Accent the positive
To improve listening skill. Adopt a positive and constructive, not negative one. Try to find something useful in the listening.

Focus your Attention
Tune out by facing the speaker and maintaining contact and understanding the nonverbal cures to improve your listening blot out your meandering thoughts and focus on what is being said

Take Notes
Jot down ideas, thought only phrases and important words, not full sentences. Even singles words or incomplete sentence will later be a memory jogger of what was said.

Curb the Impulse to Interrupt
Attending interviews, conferences and meeting, listen attentively until the speaker invites questions. Don’t assume conclusions before the speaker has stated them.

Empathize with the Speaker
Try to put yourself in the place of the speaker so that you can see his point of view.

Remove Distraction
Fidgets and nervous habits impede good listening. Don’t doodle, tap, shuffle papers, read, mail or attend mobile phone.

Concentrate on Context
Search out the main ideas. Construct a mental outline where the speaker is going. Listen for transitions and progression of ideas.

Ask Questions
It is your right to ask questions at the conclusion of the talk.

Summarize and Evaluate
Restate in your on words just what you think was said. You should also question evidence used, and mentally test the rapidity of evidence in the support in support of a proposition.

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Mgt603 - Quiz # 7

Question # 10 of 10 ( Start time: 02:33:44 AM ) Total Marks: 1

Defensive strategies include all of the following EXCEPT:

Select correct option:



Retrenchment

Acquisition

Divestiture

Liquidation



Question # 9 of 10 ( Start time: 02:33:28 AM ) Total Marks: 1

All of the following are the outputs of a system EXCEPT:

Select correct option:



Tables

Charts

Data

Graphs



Question # 8 of 10 ( Start time: 02:32:37 AM ) Total Marks: 1

Which of the following is the first step in developing QSPM?

Select correct option:



Developing a list of the firm’s key external and internal factors.

Determining the Attractiveness Scores for each strategy.

Examine the Stage 2 matrices and identify alternative strategies.

Assigning weights to each key external and internal factor.



Question # 7 of 10 ( Start time: 02:31:14 AM ) Total Marks: 1

Which of the following is a way on the basis of which divisional structure can NOT be organized?

Select correct option:



By geographic area

By product or service

By customer

By technology



Question # 6 of 10 ( Start time: 02:30:39 AM ) Total Marks: 1

Product development involves going in the direction of which one of the following?

Select correct option:



Present products to present markets

Present products to new markets

New products to present markets

New products to new markets



Question # 5 of 10 ( Start time: 02:29:54 AM ) Total Marks: 1

The organizations that conduct business operations across national borders are known as which of the following?

Select correct option:



Domestic firms

Multinational corporations

Parent companies

Franchises



Question # 4 of 10 ( Start time: 02:28:29 AM ) Total Marks: 1

According to the Grand Strategy Matrix, which strategy is recommended for a firm with rapid market growth and a strong competitive position?

Select correct option:



Market penetration

Conglomerate diversification

Joint venture

Retrenchment



Question # 3 of 10 ( Start time: 02:27:18 AM ) Total Marks: 1

Which strategy is appropriate when an organization competes in an industry characterized by rapid technological developments?

Select correct option:



Retrenchment

Product development

Liquidation

Market penetration



Question # 2 of 10 ( Start time: 02:26:06 AM ) Total Marks: 1

A firm’s division with a high relative market share position in a low-growth industry can be referred to which of the following category?

Select correct option:



Star

Cash cow

Question mark

Dog



Question # 1 of 10 ( Start time: 02:24:53 AM ) Total Marks: 1

ABC Corporation can have competitive advantage over its competitor by taking all of the following actions EXCEPT:

Select correct option:



By increasing product quality

By having debt/equity ratio equals to 1

By altering product life cycle

By increasing customer base


……………………….

Question # 1 of 10 ( Start time: 12:03:33 AM )
Effective mission statements don’t have one of the following features:
Select correct option:


Generate range of feasible strategic alternatives

Reconcile interests among diverse stakeholders

What does the firm want to become

Provide criteria for selecting strategies

Question # 2 of 10 ( Start time: 12:04:10 AM )
Which of the following is the best example for acheiving long-term objectives?
Select correct option:


Strengths

Strategies

Policies

Opportunities

Question # 3 of 10 ( Start time: 12:04:44 AM )
Din Mohammad, a farmer sells his crops at the local market rather than to a distribution center. This action of Din Mohammad comes under which of the following?
Select correct option:


Backward integration

Product development

Forward integration

Horizontal integration

Question # 4 of 10 ( Start time: 12:05:17 AM )
Establishing and implementing ways of making things work is known as:
Select correct option:


Planning

Organizing

Leading

Controlling

Question # 5 of 10 ( Start time: 12:05:49 AM )
All of the following are the TRUE regarding pro forma financial statements EXCEPT:
Select correct option:


Assemble the results in profit and loss projections

Translate this data into cash-flow projections

Compare the resulting balance sheets

These are based on forecasted future data

Question # 6 of 10 ( Start time: 12:06:30 AM )
Which one of the following is the drawback of mass marketing?
Select correct option:


It reduces costs through economies of scale by the increased volume

It does not try to please all customers with same offering

It allows economies of scale to be realized through mass production

It offers same offering that is likely to be viewed as optimal by all customers

Question # 7 of 10 ( Start time: 12:06:50 AM )
Total weighted scores of IFE matrix below 2.5 characterizes an organizations as:
Select correct option:


Organization is externally weak

Organization is internally weak

Organization is internally strong

Organization is externally strong

Question # 8 of 10 ( Start time: 12:07:20 AM )
An organization’s division that has a low relative market share position and competes in a slow-growth industry is known as:
Select correct option:


Dog

Question mark

Star

Cash cow

Question # 10 of 10 ( Start time: 12:08:29 AM )
All of the following fall under the category of "Process” function of production management EXCEPT:
Select correct option:


Choice of technology

Quality assurance

Process flow analysis

Eng301 Assignment solution

Name XYZ.........
Company Name.........
Address........
Lahore

Date 12-Jan-10

Dear Mr. ...........

I am writing to apply for the programmer position advertised in the Times Union. As requested, I am enclosing a completed job application, my certification, my resume and three references.

The opportunity presented in this listing is very interesting, and I believe that my strong technical experience and education will make me a very competitive candidate for this position. The key strengths that I possess for success in this position include:

I have successfully designed, developed, and supported live use applications,
I strive for continued excellence,
I provide exceptional contributions to customer service for all customers.

With a MBA degree in Marketing, I have a full understanding of the full life cycle of Customer Relationship in the market and also have experience in learning and excelling at new creation of relation with customer.

Please see my resume for additional information on my experience. I can be reached anytime via email at virtual.uni.help@gmail.com or my cell number 0123-1234567

Thank you for your time and consideration. I look forward to speaking with you about this employment opportunity.

Your truly,

ABC

by VUsolutions

IT430 - Solution

About Virtual University:-



1) The Virtual University, Pakistan’s first University based completely on modern Information and Communication Technologies



-2) The Virtual University allows students to follow its rigorous programs regardless

of physical location



-3) By identifying the top professors of the country, regardless of their institutional affiliations, and requesting them to develop and deliver courses, the Virtual University aims at providing the best courses not only to its own students but also to students of all other universities in the country.



SWOT ANALYSIS of Virtual University:



Strengths:



1) The Virtual University of Pakistan holds a Federal Charter, making its degrees recognized and accepted all over the country as well as overseas.



2) A website (LMS) which is use as study board for student, student use this website were internet faculty is



Weaknesses:



1) Internet interception

2) Power failure as per for student Opportunity:

1) Open a Private Campuses inside and out side of Pakistan

2) Provide a short courses for one year or six month for web designing



Threats:



1) Server down and interception in software

2) Hacker attacks

CS507 Assignment # 6 Solution

Q. No#1



Q2. What is the difference between Cold sites, Warm sites and hot sites? Explain it in your own words.



There are three different types of backup sites:

Cold backup sites
Warm backup sites
Hot backup sites

Obviously these terms do not refer to the temperature of the backup site. Instead, they refer to the effort required to begin operations at the backup site in the event of a disaster.

Difference between cold site, warm site & hot site:

A cold backup site is little more than an appropriately configured space in a building. Everything required to restore service to your users must be procured and delivered to the site before the process of recovery can begin. As you can imagine, the delay going from a cold backup site to full operation can be substantial.

Cold backup sites are the least expensive sites.

A warm backup site is already stocked with hardware representing a reasonable facsimile of that found in your data center. To restore service, the last backups from your off-site storage facility must be delivered, and bare metal restoration completed, before the real work of recovery can begin.

Hot backup sites have a virtual mirror image of your current data center, with all systems configured and waiting only for the last backups of your user data from your off-site storage facility. As you can imagine, a hot backup site can often be brought up to full production in no more than a few hours.

A hot backup site is the most expensive approach to disaster recovery.
Backup sites can come from three different sources:
Companies specializing in providing disaster recovery services
Other locations owned and operated by your organization

A mutual agreement with another organization to share data center facilities in the event of a disaster

Each approach has its good and bad points. For example, contracting with a disaster recovery firm often gives you access to professionals skilled in guiding organizations through the process of creating, testing, and implementing a disaster recovery plan. As you might imagine, these services do not come without cost.

Using space in another facility owned and operated by your organization can be essentially a zero-cost option, but stocking the backup site and maintaining its readiness is still an expensive proposition.

Crafting an agreement to share data centers with another organization can be extremely inexpensive, but long-term operations under such conditions are usually not possible, as the host's data center must still maintain their normal production, making the situation strained at best.

In the end, the selection of a backup site is a compromise between cost and your organization's need for the continuation of production.