EVERFI SmartEconomics Modules 1-3 Flashcard

Front

Who has the role of buying goods and paying for services in an economy?

Back

Consumer

Front

When someone opens a cupcake bakery, what role would they play in the economy? Options: researcher, analyst, economist, producer

Back

producer

Front

When can an economy be considered strong?

Back

when consumer spending is high

Front

What is a sign of a strong economy? Options: Prices of goods and services are rising quickly, Factories are expanding and restaurants are doing well, Unemployment rate is high since many people are looking for jobs, House prices drop since people are not buying them

Back

Factories are expanding and restaurants are doing well

Front

As a business owner, Marlon analyzed the economy to determine if it is a good time to open a new shop. What facts probably helped him realize that it is a good time to do it?

Back

Low unemployment rate and prices are rising slowly

Front

What is an example of a market economy?

Back

When the law of supply demand sets prices of goods and services

Front

In a market economy, what is supply?

Back

Goods and services that are offered by producers

Front

How does the law of supply and demand affect a consumer?

Back

It can affect the price and availability of goods and services.

Front

If an item is scarce, how does this affect how it is priced in a market economy?

Back

The price will increase

Front

How is Martin most likely going to price the only pair of sneakers that everyone wants to buy?

Back

He will raise the price since demand is high and supply is scarce.