Question 1
Which of the following is an example of a positive externality?
Correct Answer:
Enjoying you neighbor’s flower garden
Explanation:
Correct answer: Enjoying you neighbor’s flower garden
Question 2
One reason public goods are underproduced is because they cause free riders. What problem do free riders cause?
Correct Answer:
Smaller market demand
Explanation:
Correct answer: Smaller market demand
Question 3
Which of the following is true based on this graph, where lines A, B, and C each represent a country?
Correct Answer:
Country C has more income inequality than A or B.
Explanation:
Correct answer: Country C has more income inequality than A or B.
Question 4
Which of the following is true about a public good?
Correct Answer:
One person’s consumption does not exclude others from consuming it.
Explanation:
Correct answer: One person’s consumption does not exclude others from consuming it.
Question 5
If there is a negative externality associated with a firm’s production of a private good, which of the following is an action by government that would most likely move the market to an efficient outcome?
Correct Answer:
Place a per-unit tax on the firm
Explanation:
Correct answer: Place a per-unit tax on the firm
Question 1
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About this Exam

Prepare with the AP Microeconomics Unit 6 Practice Test practice quiz. This question bank includes 13 questions covering government, market, good, efficient, and positive. Use it to review important concepts, identify knowledge gaps, and build confidence for the related exam, course, or assessment.

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AP Microeconomics Unit 6 Practice Test

This practice set contains 13 questions from the matching question bank and focuses on government, market, good, efficient, and positive. Work through each question carefully, review the provided solutions, and revisit topics that need more study before your next attempt.

This is an independent study resource intended for practice and review; it is not an official examination or an endorsement by any organization named in the title.

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