CE 11 Economics Review 2020

Which is an example of an entrepreneur?

• People who operate a hospital.
• A person who runs a govearnment-owned coal mine.
• Roofers who work for a business owned by an individual.
• A person who uses his or her money to start a business selling cell phones.

Which of the following is NOT a factor of production (resource)?

• Land

• Time

• Workers

• Capital

Which type of economic system is a combination of privately-owned business and government control?

• Traditional

• Mixed

• Command

• Free Market

The lumber a carpenter uses to build a house is -

• a natural resource

• capital

• a human resource

• entrepreneurship

In which type of economic system can businesses operate without ANY government regulation? 

• Free Market
• Traditional
• Command
• Mixed Market

Which of the following is NOT one of the questions every economic system must answer?

• How to produce?
• What to produce?
• Who will produce?
• Whom to produce for?

Riddle:  When people cannot get all they want or need at the same time, they blame me for limited resources, goods, and services.  I am called -

• debt
• production
• supply and demand
• scarcity

If businesses produce more goods or provide more services than cosumers demand, then the price will -

• increase
• increase, and then immediately decrease
• stay the same
• decrease

If the demand for a product exceeds the supply, what will happen to the price?

• The price goes up.
• The price stays the same.
• The price immediately goes up, then down.
• The price goes down.

Sammy wanted to buy a new iPhone, but she really needed a new pair of tennis shoes. When her mom took her shopping at the mall, she ended up buying the tennis shoes. What was her opportunity cost?

• the mall

• the iPhone

• the tennis shoes

• no opportunity cost