Economics Review

In our society, humans need to satisfy basic necessities which correspond to our _______.

• Esteem Needs

• Physiological Needs

• Psychological Needs

• Social Needs

Which of the following reasons DO NOT describe the economic existence of the society?

• Competing uses

• Economic growth

• Financial stability

• Material survival

Economics is a discipline that belongs to the social sciences because _______________.

• It covers our basic needs for survival.

• It deals with human actions and its economic implications.

• It explains the importance of rational decisions in every situation.

• It discusses the production, consumption and distribution of resources.

Which of the following statements BEST describe economics as a study of wealth?

• Process of wealth getting is important for all people.

• Human nature is motivated in accumulation of wealth.

• Wealth is used for individual satisfaction and society’s welfare.

• The intention of producing goods and services is based on wealth.

It refers to the option that people select based on the assessment of costs and benefits.

• Alternative choice

• Final choice

• Logical choice

• Rational choice

It is the situation in which people have to choose between two things that cannot be done at the same time and place.

• Alternative choice

• Opportunity cost

• Rational choice

• Trade off

It refers to value that we put on the best option that we have to sacrifice if it is not taken up.

• Alternative choice

• Opportunity cost

• Rational choice

• Trade off

Which of the following statements BEST describe the resources in economics?

• It has a natural productive capacity.

• It can be converted into final goods.

• It creates value and satisfies our needs.

• It provides monetary means to survive.

Natural resources are composed of the following EXCEPT:

• Forest resource

• Marine resource

• Mineral resource

• Physical resource

Human resources are essential part in business because _______________.

• It helps in the production of goods.

• It is used as factor inputs for production.

• It is needed for marketing and advertising.

• It creates value through the services made.