Microeconomics 5

According to the chart, what do household exchange in the Product market for finished products?

• Consumption Expenditures

• Cost

• Goods and services

• Productive Resources

According to the chart, what do businesses do with the productive resources they purchase?

• make finished goods and services and sell them in the product market

• make finished goods and services and sell them in the factor market

• make productive resources and sell them in the product market

• use them to gain a tax credit with the government

According to the chart, who makes income?

• Businesses

• Factor Markets

• Product Markets

• Households

According to the chart, how do households and businesses interact in the factor market?

• Households sell finished goods and services to businesses for money

• Households sell productive resources to businesses in exchange for income

• Households sell productive resources to businesses in exchange for expenses

• Households purchase finished goods from businesses in exchange for cost

According to the chart above, how do businesses and households interact in the product market?

• Businesses sell productive resources to house holds for income

• Businesses sell finished goods and services to the households for the factors of production

• Households purchase finished goods and services from the business for money that becomes is revenue for the businesses

• Households barter with businesses in exchange for a job to work.

According to the law of supply, Price and quantity have which relationship?

• Negative

• Inverse

• Positive

• Neutral

According to the law of supply, the points on the curve are known as

• Supply

• Demand

• Quantity Demanded

• Quantity Supplied

What causes changes in the supply of an item?

• changes in quanitity

• changes in supply

• changes in demand

• changes in price

Which curve is being shown in the picture above

• Law of Demand

• Law of Supply

• Demand

• Supply

According the law of Demand, which is the relationship to quantity and price

• Price and quantity have a positive relationship

• Price and quantity have a negative relationship

• Price and quantity have an inverse relationship

• Price and quantity have never dated