AP Microeconomics Unit 1 Review

Front

Which of the following best explains why scarcity occurs? Scarcity occurs due to society's unlimited wants and limited resources, Scarcity occurs due to society's unlimited wants and limited time, Scarcity occurs due to society's unlimited wants and limited money, Scarcity occurs due to society's unlimited wants and limited labor

Back

Scarcity occurs due to society's unlimited wants and limited resources

Front

Imagine you decide to purchase a soccer ball for $35. Which of the following is an opportunity cost of your decision? Options: the time spent deciding to spend your money, something else that could have been bought, $35 cash, the time spent making the purchase and the tax paid on the ball

Back

something else that could have been bought

Front

Which of the following is an example of a person acquiring human capital? Options: John is taking an economics course, Tim bought a computer, Sarah is going to the store, Kim is taking her dog for a walk

Back

John is taking an economics course

Front

Which of the following occurs in the resource market?
services are purchased,
finished goods are purchased,
firms supply and households (consumers) demand,
firms demand and households (consumers) supply

Back

firms demand and households (consumers) supply

Front

Cami chose to purchase a new sweater for $40. Her tradeoffs include: the $40, the pants or shoes she could have purchased with the $40, the purse she purchased to go with the sweater, the movie she was late too because she was shopping.

Back

the pants or shoes she could have purchased with the $40

Front

Prescription drug prices have increased dramatically over the last decade. Is this related to Microeconomics or Macroeconomics?

Back

Microeconomics

Front

What economic field is concerned with the overall price level in the U.S. economy, especially regarding inflation? Options: Microeconomics, Macroeconomics

Back

Macroeconomics

Front

Which of the following is NOT a an example of one of the four factors of production? a quarter, Bill Gates, a factory, oil

Back

a quarter

Front

Based upon the quote, one could predict that

Back

working in their own rational self-interest, producers will focus more on the production of SUVs, pickups and vans.

Front

In economics, why are entrepreneurs considered to be a productive resource?

Back

They purchase the other three productive resources why the produce.