Econ: Unit 3

_____ is a critical piece to the economic puzzle of how things are accomplished.

• Economic sanction

• Embargo

• Trade

• Tariff

Why would American Indians in the 1830s welcome contact with white Americans?

• To avoid being placed on a reservation

• To trade

• Share ideas

• So the white Americans could build a great land

______ occurs only when all participating parties expect to gain.

• Voluntary exchange

• Mandatory exchange

• Involuntary exchange

• Violence

Why is competition a good thing?

• It allows consumers to get what they need.

• It lowers cost and price and allows consumers to buy what they need and want.

• It raises cost and price to allow consumers to buy what they need and want.

• It is not a good thing, producers and consumers are not treated fairly.

Why were the Indians of the Great Plains willing to trade for the white American's manufactured goods?

• They liked what was offered.

• Their prices were fair.

• They could receive money for their goods.

• It would raise their standard of living.

Which tribe invited trader William Bent to build a trading fort near their winter camping area in southeastern Colorado?

• Commanche

• Pueblo

• Cheyenne

• Crow

Why did the white Americans want the animal skins/pelts?

• To sell for substantial profit in the eastern states and Europe.

• To keep themselves warm during the cold winters.

• To trade for manufactured goods.

• To sell to the Mexicans in Old Mexico.

Why were US traders forbidden from entering Mexican territory before 1821?

• The US traders would not buy Mexican goods.

• The Spanish traders wanted goods from the Plains Indians.

• Mexico was held by Spain.

• Spain was already trading with the US on the east coast.

During the trading activity, what happened when the US traders entered the game?

• The greed of the US traders caused the activity to fail.

• All groups benefited from trade.

• Fewer groups benefited from trade.

• The Pueblo and Cheyenne benefited greater than any of the other groups.

Opportunity cost is defined as the next best alternative not chosen. When you were involved in the trading activity, what was the opportunity cost for the Cheyenne and Comanche?

• Cloth

• Manufactured Goods

• Food

• Buffalo Robes and Meat