Economics Mid Term Quiz Part 2

An example of a need is

• a car
• a cell phone
• a warm coat
• a flat screen TV

Getting a sound system for your car is considered a 

• need
• want
• opportunity cost
• vertical integration

An economic system characterized by private or corporate ownership of capital goods; investments that are determined by private decision rather than by state control; and determined in a free market is

• laissez faire
• free enterprise
• socialism
• command economy

An increase in demand or supply shifts the curve

• left
• right

A decrease in demand or supply shift the curve

• left
• right

The point where demand and supply come together is called

• price floor
• ceiling
• equilibrium
• middle

When supply is greater than demand it is called

• shortage
• equilibrium
• surplus
• ceiling

When demand is greater than supply it is called

• ceiling
• shortage
• surplus
• equilibrium

A business owned by two or more people is called a 

• Corporation
• sole proprietorship
• partnership
• franchise

A business owed by one person is called a

• corporation
• sole proprietorship
• partnership
• franchise