Marketing 3.1 Scarcity & Private Enterprise

There are enough resources available in the world to meet everyone’s wants and needs. 

• False
• True

In a free enterprise economy, resources are free so anyone can obtain them. 

• True
• False

The U.S. economy has many characteristics of a private enterprise economy. 

• True
• False

Consumers create demand for products when they select the ones they think will provide the greatest satisfaction for the price. 

• False
• True

The quantity of a product that producers are willing and able to provide at a specific price is known as demand. 

• True
• False

The basic economic problem is 

• scarcity
• monopolies
• consumers
• capitalism

Which needs are satisfied and how resources are distributed in a country depend on 

• raw materials
• consumer education
• product prices
• the country's economic system

A decision to use resources in a way that results in the greatest profit for the producer is known as 

• free enterprise
• scarcity
• the profit motive
• value

In a private enterprise economy, the success or failure of a business is determined primarily by 

• consumer demand
• state and federal laws and regulations
• the decisions each business makes
• competitors' actions