Economics Honors Review

Front

Which choice below is not a factor of production: Labor, Land, Money, Entrepreneurship?

Back

Money

Front

A sales clerk represents which factor of production?

Back

Labor

Front

Because of scarcity, every decision involves.....

Back

Trade- off

Front

The phrase “guns or butter” expresses the idea that

Back

government decisions involve trade-offs between military and domestic needs.

Front

An economy that maximizes its scarce resources and can deliver the right goods in the right quantity to the right people at the right price has achieved which economic goal?

Back

Efficiency

Front

The distribution of income received in the form of rent, wages, or interest is the main factor that determines
who consumes goods and services.

Back

who consumes goods and services.

Front

Which of the following describes the benefits of specialization in a free market?

Back

specialization leads to efficient use of capital, land , and labor.

Front

In a free market system, the concept of consumer sovereignty means that

Back

consumers have the power to decide through their actions what goods and services get produced.

Front

An economic system in which the government makes all decisions on the three key economic questions?

Back

centrally planned economy.

Front

How were the Soviet Union and communist China similar?

Back

both suffered from severe economic problems as a result of central planning.