Economic Concepts and Decision Making

Front

What is the fundamental economic problem that all societies face?

Back

Scarcity

Front

When resources are scarce, what must individuals, businesses, and governments do?

Back

Make choices between alternatives.

Front

Which best defines scarcity in economic terms?

Back

The gap between unlimited wants and limited resources.

Front

A study analyzing how interest rates affect national unemployment is an example of:

Back

Macroeconomics

Front

Which is an example of microeconomics? Options: a) Analysis of a single firm's pricing strategy, b) National GDP calculation, c) Country's inflation rate, d) Federal tax policy

Back

Analysis of a single firm's pricing strategy

Front

The government should raise minimum wage to $15 per hour is an example of:

Back

Normative statement

Front

The unemployment rate increased by 2% last month is an example of:

Back

Positive statement

Front

Which of these is NOT a factor of production? a) Land, b) Labor, c) Money, d) Capital

Back

Money

Front

What factor of production does a forest represent? Options: a) Capital, b) Labor, c) Land, d) Entrepreneurship

Back

Land

Front

Which factor of production refers to human effort used in production?

Back

Labor