8. The audience ____ after witnessing the funny clown fell down on the stage.
(A) haggled
(B) guffawed
(C) instigated
(D) masticated

4. The construction of the garbage incinerator was rejected by the locals due to the _____ smoke harmful to the residents. (A) obstreperous (B) pecuniary (C) noxious (D) recalcitrant

5. Walking is definitely a(n) _____ exercise. Studies show that walking at least 30 minutes a day can reduce your risk for coronary heart disease. (A) taciturn (B) salutary (C) unkempt (D) vitriolic

6. Flying in the air was once regarded as a ____ and crazy idea before the invention of airplanes. (A) xenophobic (B) acephalous (C) blithe (D) whimsical

7. Catherine is such a ____ person that all of her colleagues find it hard to work with her. Her picky personality also leaves her only few friends. (A) captious (B) diurnal (C) enamored (D) florid

9. Tens of thousands of people protested on the street and demanded that their president with _____ and corruption should step down. (A) obeisance (B) panoply (C) nepotism (D) quorum

10. She _____ for days, hoping to come up with the best answer to the difficult question. (A) serrated (B) tantalized (C) undulated (D) ruminated

1. Which of the following conditions is characteristic of a monopolistically competitive firm in short-run equilibrium? (A) P = AR (B) MR = MC (C) P ＞ MC (D) All of the above are correct.

2. When economists talk about growth in the economy, they measure that growth as the (A) absolute change in nominal GDP from one period to another. (B) percentage change in nominal GDP from one period to another. (C) absolute change in real GDP from one period to another. (D) percentage change in real GDP from one period to another.

3. Suppose that a college professor is creating an exam in her university office. Which of the following would be an example of a factor of production used by the professor? (i) the professor’s time  (ii) a computer software program into which the professor types the exam questions (iii) the physical space of the professors office where she works when creating the exam (iv) the interest on the professor’s home mortgage (A) (i) only (B) (i) and (ii) only (C) (i), (ii), and (iii) only (D) (i), (ii), (iii), and (iv)

4. Other things the same, when the price level rises, interest rates (A) rise, so firms increase investment. (B) rise, so firms decrease investment. (C) fall, so firms increase investment. (D) fall, so firms decrease investment.