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- 1. Multiple ChoiceScarcity can best be defined asA Shortage of a productWhere demand is greater than supplyUnlimited wants vs Limited resourcesLimited wants vs unlimited resources
- 2. Multiple ChoiceWhich of the following is NOT a consumer good?
a bulldozer at a construction sitea Happy Meal at McDonaldsa pack of Doritos in a vending machinea television set for sale at an appliance store - 3. Multiple ChoiceWhich of the following resources would economists classify as “capital”?Raw Bauxite in a South African mineA hammer used in framing a houseA worker hired to repair enginesTrees used to make paper
- 4. Multiple ChoiceThe United States has decided to spend more money on military goods and less on education. The opportunity cost for spending more money on military goods would be which of the following?the satisfaction of destroying our enemiesthe money used to fund the militarymoney to spend on educationbetter paid soldiers
- 5. Multiple Choice________ is the most basic economic problem.ScarcityLaborGreedCapital
- 6. Multiple ChoiceOpportunity Cost is best defined asThe best rejected alternative you give up when making a decisionThe price you pay to purchase somethingThe benefit you gain by making a decisionThe amount of debt you take on by making a decision
- 7. Multiple ChoiceWhich of the following statements is true:An economist would consider something scarce only if it is limited (not anything else)A trade off occurs when you give up something you want in order to get something else you wantThe economic social goal, economic equity, means everyone gets the same amount of moneyIn a traditional economy, the government gets to decide the answers to the 3 basic economic questions
- 8. Multiple ChoiceWhich of the following is a need?clothescarjobsmart phone
- 9. Multiple ChoiceThe major types of resources used to make a product are callednatural resourcesfactors of reductionfactors of productioncapital resources
- 10. Multiple ChoiceChoosing to make cars instead of trucks results inopportunity costincreased wealthexpanding the production possibilities curveTINSTAAFL rating upgrade
- 11. Multiple ChoiceYou give up one thing to have more of another in _________________.a trade offan opportunityproductionscarcity
- 12. Multiple ChoiceLimited resources available to satisfy unlimited wants & needs createtheoriesallocationscarcityopportunity benefits
- 13. Multiple ChoiceWhat is the fundamental problem of economics?How to keep consumers out of debt?How to fulfill our unlimited wants and needs with limited resources?How to figure out the way to make the most money?How do we ensure all people get a college education?
- 14. Multiple ChoiceThe 5 factors of productions aremicroeconomics, macroeconomics,wants, needs, scarcitycapital, entrepreneurship, land, labor, trade-offopportunity cost, economic models, goods, services, capitalcapital, entrepreneurship, land, labor, technology
- 15. Multiple ChoiceWhen people need to make economic choices due to a lack of available goods and money, this is called _________________________ in economic terms.trade offsscarcityopportunity costincentive
- 16. Multiple ChoiceA discount sale is also called an _________________________. This is a reward for buying something now rather then later.choiceopportunity costincentivetrade off
- 17. Multiple ChoiceWhen I choose one item over another because I cant afford both, this is called an ...scarcityopportunity costchoiceincentive
- 18. Multiple Choice________ are decisions we all must make due to scarcity.trade offsscarcitychoiceincentive
- 19. Multiple Choice
NeedWant - 20. Multiple ChoiceNeedWant
- 21. Multiple ChoiceNeedWant
- 22. Multiple ChoiceNeedWant
- 23. Multiple ChoiceNeedWant
- 24. Multiple ChoiceNeedWant
- 25. Multiple ChoiceNeedWant
- 26. Multiple ChoiceNeedWant
- 27. Multiple ChoiceNeedWant
- 28. Multiple ChoiceNeedWant
- 29. Multiple ChoiceWhat is scarcity?Having too many resourcesNot having enough resources
- 30. Multiple ChoiceWhat is opportunity cost?your choicewhat I give up to make a choice
- 31. Multiple ChoiceA popular bakery has only a few ingredients left to make their products. They could bake muffins or cookies, but they can’t make both. The bakers decide to make cookies for their customers. What is the opportunity cost of their decision?muffinscookies
- 32. Multiple ChoiceThe Welch family has saved some money. They can spend it on a vacation to the Grand Canyon or build a swimming pool in their back yard. They decide to spend the money on a swimming pool. What is the opportunity cost of their decision?vacationswimming pool
- 33. Multiple ChoiceEmelia has been invited to a sleep over at Chloe’s house for this Saturday. Emelia has tickets to see her favorite band in concert that same night. She decides to give the tickets to her sister and go to Chloe’s house. What is the opportunity cost of her decision?seeing her favorite bandspending time at a friends house
- 34. Multiple ChoiceMax is studying for his spelling test. Unfortunately, his favorite TV program is on right now. If he studies for the test, he will miss watching the show. Max decides to study for his test instead of watching TV. What is the opportunity cost of his decision?studying for a testwatching TV
- 35. Multiple ChoiceThe local government for a community must decide what to do with the sales tax collected. They could build a new skate park or they could buy more computers for the public library. The officials decide to build a skate park. What is the opportunity cost of their decision?new skate parkmore computers
- 36. Multiple ChoiceWhat does this graph show?ShortageSurplusSupply TableEquilibrium
- 37. Multiple ChoiceWhich of these is an example of an inferior good?BikeUberTaxiPublic Bus
- 38. Multiple ChoiceWhich of the following would not cause as shift in demand?Decrease in incomeLower supplyChange in tastesIncrease in price
- 39. Multiple ChoiceWhich of the following would cause a change in supply?A change in market priceA change in technology availableA change in the number of sellersAll of the above
- 40. Multiple ChoiceWhat is an example of a competitive market?WalmartMid-American EnergyCell service providersA small town cable provider
- 41. Multiple ChoiceAn economist would probably state that in a market economy, prices are generally determined by the interaction betweenbuyers and sellerswholesalers and retailersproducers and labor unionsconsumers and government officials
- 42. Multiple ChoiceIn economics, the term demand refers to the quantity of a good that peoplewill buy at one particular price over a long time periodwould like to consume on a given datewill buy at many different prices at a particular timewould like to have available during a given time period
- 43. Multiple ChoiceWhich of the following is likely to increase the demand for peanut butter?Fewer children in the populationNews that insects have destroyed much of the peanut crop and that there will be less peanut butter on the shelves in three months.A big increase in the price of jelly.A report from the Surgeon General of the United States that eating peanut butter makes people nutty.
- 44. Multiple ChoiceSummer is upon us, and people begin purchasing bathing suits in large numbers. What causes this change?Change in incomePrices or availability of substitutesChange in the weather or seasonChange in the number of buyers
- 45. Multiple ChoiceThousands of people leave a small town due to a factory closing down. Sales at the local grocery store become slow. What causes this change?Prices or availability of substitutesPrices or availability of complementary goodsChange in the weather or seasonChange in the number of buyers
- 46. Multiple ChoiceiTunes increases the price of all of its digital downloadable music to $6 per song. What causes this change?Prices or availability of substitutesPrices or availability of complementary goodsChange in the weather or seasonChange in the number of buyers
- 47. Multiple ChoiceWhich one of the following scenarios would NOT result in a demand change for compact discs?Famous music artists put together a save-the-children CD, with proceeds going towards educationCDs go on sale in an end-of-summer blowout sale.Auto manufacturers no longer put CD players into cars as a standard feature.U.S. Government taxes rise for the fourth straight year.
- 48. Multiple ChoiceSupply is best defined as the measure of how much producers are willing and able to sellabove the market-clearing priceat any one price at a particular timeat different prices at a particular timeaccording to their resources and profit motives
- 49. Multiple ChoiceProduct X is in high demand. The price of Product X rises by 15%. The most likely result of theseevents would be an increase insupplier outputnatural resourcesconsumer demandgovernment intervention
- 50. Multiple ChoiceNew technology advances the rate at which furniture can be assembled. Why does this change the supply?Change in cost of productionChanges in number of producersChanges in expectations
- 51. Multiple ChoiceThe cost of flour increases due to a drought in the Midwest. It now costs more to create baked goods. Why does this change the supply?Change in cost of productionChanges in number of producersChanges in expectations
- 52. Multiple ChoiceIf bad weather destroys much of the wheat crop, thenthe price effect will cause growers to sell less wheat at lower prices.growers will offer less wheat at each and every price.no wheat products will be produced that year.none of the above.
- 53. Multiple ChoiceThe market equilibrium price is the price at whichsurpluses depress the number of goods suppliedshortages and surpluses will have no effect on the marketthe government will not intervene in the marketthe quantity demanded is the same as the quantity supplied
- 54. Multiple ChoiceIn economics, a shortage of a product occurs whenthe product's price falls below its market-clearing levelthe product's market-clearing level reduces overall demandthe people who buy the product consume more than they needthe businesses producing the product become less efficient
- 55. Multiple ChoiceWhich of the following does NOT explain why market-clearing prices are important in a free enterprise economy?They help to ration available goods and services.Equilibrium prices provide incentives for people to produce goods and services.They provide information about producer costs and consumer wants.They help to create competition to drive prices upwards in order to create necessary surpluses.
- 56. Multiple ChoiceA command economy is when the government is in control.TrueFalse
- 57. Multiple ChoiceWhich of the following countries has a command economy?USAFranceN KoreaGermany
- 58. Multiple ChoiceIndividuals have freedom in a command economy.TrueFalse
- 59. Multiple ChoiceOne can buy guns and illegal drugs in aflea market.bazaar.black market.Walmart.
- 60. Multiple ChoiceWhat was the worst economic period that lasted ten years?Great RegressionGreat ProgressGreat RecessionGreat Depression
- 61. Multiple ChoiceWhich of the following is NOT a market economy?JapanCanadaCubaUSA
- 62. Multiple ChoiceWhich of the following is an example of a type of mixed economy?communismsocialismfree enterpriseall of the above
- 63. Multiple ChoiceWhat is an economic system characterized by central authority that makes most of the major economic decisions?traditional economyfree enterprisemixed economycommand economy
- 64. Multiple ChoiceWhat is an economic system in which the government owns some factors of production and has a role in determining what and how goods are produced?capitalismmarketsocialismeconomic system
- 65. Multiple ChoiceWhich of the following countries are/were command economies?N KoreaCubaVietnamAll of the above
- 66. Multiple ChoiceWhat is one disadvantage of a command economy?can drastically change directionallows citizens to get goods they cannot affordpeople don't have much individual freedom
- 67. Multiple ChoiceTransitioning to capitalism can causemore jobsinequalityincrease in GDP per capitaall of the above
- 68. Multiple ChoiceWhich of the following is NOT a reason for countries to want to transition to capitalism?loss of political powerfreedom of speechincrease in economic growthresponding to new incentives
- 69. Multiple ChoiceWhich of the following has successfully transitioned to capitalism?AsiaCubaCanadaJapan
- 70. Multiple ChoiceWhich of the following is a problem with transitioning to capitalism?It generates wealth.People have to adjust to incentives.There is an increase in GDP per capita.All of the above.
- 71. Multiple ChoiceWhat type of economy does the US have?mixedcommandtraditionalmarket
- 72. Multiple ChoiceIn a market economy, ____________ decides what needs to be made.consumerproducerthe governmenteveryone
- 73. Multiple ChoiceHow does a market economy work?divide and conquersupply and demandhide and seeknone of the above
- 74. Multiple ChoiceWhich is an advantage for market economies?Incredible variety of goods and serviceswork and businesses face uncertaintydoes not produce enough goodsall of the above
- 75. Multiple ChoiceWhich is a traditional economy?Central African MbutiAustrailian AboriginesInuit of Northern CanadaAll of the above
- 76. Multiple ChoiceWhich is an advantage of a traditional economy?You get to try new ideasYou don't get punished for anything.You get to do things the way your parents taught youNo one has to do anything they don't want to.
- 77. Multiple ChoiceWhat is the most powerful engine for producing wealth?violencecommunismcapitalismfashion
- 78. Multiple ChoiceWhat is the worst problem with transitioning to capitalism?greedunderestimated costblack marketssocialism
- 79. Multiple ChoiceWhich of the following is an economic system in which economic decisions are made according to social roles & culture?Market economyCommand economyTraditional economyMixed economy
- 80. Multiple ChoiceWhich of the following is an economic system in which a central, governmental authority decides how to use a country's scarce resources?Market economyCommand economyTraditional economyMixed economy
- 81. Multiple ChoiceWhich of the following is an economic system in which the government and individuals are used to decide how to use scarce resources?Market economyCommand economyTraditional economyMixed economy
- 82. Multiple ChoiceInvesting in what 2 kinds of resources can increase a country's GDP & standard of living?Productive & capital resourcesHuman & capital resourcesNatural & capital resourcesHuman & natural resources
- 83. Multiple ChoiceWhat type of economy do most countries in the world have?Market economyCommand economyTraditional economyMixed economy
- 84. Multiple ChoiceWhat 2 things encourage international trade?Specialization & scarcitySpecialization & trade barriersTrade barriers & scarcitySpecialization & currency
- 85. Multiple ChoiceWhen a country won't trade at all with another country.EmbargoQuotaTariffSpecialization
- 86. Multiple ChoiceJapan mainly produces electronics & automobiles. This is an example of:InterdependenceSpecializationTrade barrierExchange rate
- 87. Multiple ChoiceWhat is human capital?Taxes collected from a country's workersMoney paid to workers for producing goodsSkills and education workers haveThe amount of goods sold in foreign trade in a year
- 88. Multiple ChoiceWhich of the following would be an example of human capital?The amount of workers who work in a Nike factoryThe skills of the shoe designers at NikePhilip Knight, the CEO of NikeThe land that the Nike headquarters is located on in Beaverton Oregon
- 89. Multiple ChoiceThe four types of economic systems are:Traditional, Command, Mixed, & MarketTraditional, Command, Combined, & MarketCommunism, Capitalism, Free Market, and MacroeconomicsMicroeconomics, Macroeconomics, Individual, and Traditional.
- 90. Multiple ChoiceHow do you satisfy your unlimited wants in a world of limited resources?by making more moneyby making choicesby stealingby setting a budget
- 91. Multiple ChoiceIs this shelter a want or a need?WantNeed
- 92. Multiple ChoiceWhich of the following is NOT one of the three basic questions of economics when looking at economic systems?What goods should be produced ?What is the price of the goods?How should the goods be produced?Who gets to consume the goods?
- 93. Multiple ChoiceType of economy that is based on trading and bartering?SocialistTraditionalFree EnterpriseCommand
- 94. Multiple ChoiceTony Romo, quarterback for the Dallas Cowboys NFL team, would be considered which one of the 4 economic resources?LandLaborCapitalEntrepreneurship
- 95. Multiple ChoiceGovernment owns all industries.SocialismCommunismCapitalism
- 96. Multiple ChoiceThe Government runs some, but not all of the basic industries within a country.SocialismCommunismCapitalism
- 97. Multiple ChoiceThis economic system arose at the beginning of the Industrial Revolution.SocialismCommunismCapitalism
- 98. Multiple ChoiceThe economy of the Bushmen of the Kalahari Desert the people follow the examples of their ancestors. This is what kind of economy?TraditionalMarketCommandCentrally planned
- 99. Multiple ChoiceHow many major economic questions are there?1234
- 100. Multiple ChoiceThe doctrine that government generally should not intervene in the marketplace:laissez faireself interesteconomic transitionmixed economics
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