Business Essentials - Ch. 1 Review

T/F: Your needs and wants eventually end

• True

• False

T/F: Products and money used in the production of goods and services are called capital resources

• True

• False

T/F: The 1st step in the decision-making process is the evaluation of your decision

• True

• False

T/F: If many consumers don't want a particular service, the price will probably go up

• True

• False

T/F: North Korea and Russia could best be characterized as a command economy

• True

• False

All of the following are examples of a capital resource EXCEPT:

• Hard Hats

• A pickup truck

• A Factory

• Employees

Which of the following is NOT an example of a consumer?

• A father buying supplies for a birdhouse

• A business purchasing a cleaning service

• A farmer selling livestock

• The government purchasing land

___________ are the means through which goods and services are produced.

• Economic products

• Economic resources

• Economic needs

• Economic services

Which of the following is a characteristic of a capitalistic economy?

• No freedom of choice

• Government owned resources

• Lack of competition

• Opportunity to earn a profit

___________ is the quantity of a good or service that producers are willing and able to provide.

• Supply

• Demand

• Wants

• Needs