Second Nine-Week Review

Front

Which word describes the relationship of stockholders to corporation?

Back

Owners

Front

Which type of business ownership is most common in the United States? Options: Sole Proprietorship, A conglomerate, A cooperative, A corporation

Back

Sole Proprietorship

Front

An oligopoly is a market structure in which

Back

a small number of companies dominate a market.

Front

Under which circumstance would labor productivity most likely decrease in an economy? Options: Businesses reduce expenditures for research and development and for new capital equipment., Lower taxes increase the profitability of investing in new plants and equipment., Workers increase their level of education and job skills., Businesses buy new, more efficient equipment.

Back

Businesses reduce expenditures for research and development and for new capital equipment.

Front

Fiscal policy refers to the power of the federal government to

Back

tax and spend

Front

The Federal Reserve regulates “fiscal policy”—taxes & spending.

Back

False

Front

The largest portion of the Gross Domestic Product is made up of business investment in “plants and equipment”.

Back

False

Front

A market structure in which the products are identical, it is fairly easy to enter and leave the market, and everyone knows that the products are identical (like wheat, for example), is called an oligopoly.

Back

False

Front

Examples of a “natural monopoly” would include the products at Wal-Mart, gasoline, and milk.

Back

False

Front

People often follow the Dow Jones Industrial Average, the unemployment rate, “consumer confidence”, and other measures to evaluate the health of the economy. These measures are examples of

Back

economic indicators.