4th 3rd 6 weeks test

Which one of the following is not one of the 3 basic economic questions all societies must answer?

• -What

• How

• For Whom

• Where

• Why

How are scarcity and choice related. See image for an idea

• You have unlimited resources and limited needs & wants

• There is enough to go around so just choose what you want

• Nick Nack Paddy Wack Give a Dog a Bone

• Scarcity means limited resources for unlimited needs

Which factor of production involves risk taking and arranging other resources needed for production?

• Entrepreneur

• Land

• Labor

• Capital

What would have to happen for this country to produce at level X?

• Not your fathers Oldsmobile

• Need more resources

• Produce more guns

• Produce more guns and butter

In the mythical country, Alpha , an entrepreneur has introduced new technology that makes manufacturing twice as efficient as before.

• It would not change the frontier

• It would make it smaller

• It would expand the frontier

• It would change the shape of the frontier

The characteristics of money include all of the following except....

• Divisible

• Portable

• Transferable

• Durable

Why is the Federal Open Market Committee considered the Fed's primary monetary policy-making body?

• It has the power to raise and lower interest rates

• It has the power to enforce consumer protection regulations.

• It maintains the payment systems for checks and electronic money transfers.

• it ensures that public has accurate information about the terms of credit cards and loans.

Which of these ensures that the U.S. government does not own the Fed?

• Private state banks are required to buy shares in the Fed.

• Private state banks are not allowed to buy shares in the Fed.

• Private individuals are not allowed to buy shares in the Fed.

• Private national banks are required to purchase shares in the Fed.

Which agency manufactures U.S. paper money?

• The Bureau of the Mint

• the Comptroller of the Currency

• the Federal Deposit Insurance Corporation

• the U.S. Bureau of Engraving and Printing

Which of the following is an example of fiat money?

• Tobacco

• Hemp

• Gold

• Wampum