Principle of Business DCA 1st 9wks review

A video game is an example of a product that fulfills a need.

• True

• False

Tangible products you can purchase to meet your wants and needs are called goods.

• True

• False

When you decide to buy a jacket instead of a concert ticket, you are making a trade-off.

• True

• False

Capitalism is another name for a traditional economic system.

• True

• False

Competition forces businesses to search for new ways to satisfy customers' wants and needs.

• True

• False

The market price for a product is the point where demand exceeds supply

• True

• False

The basic economic problem is

• deciding what goods and services to produce.

• having unlimited wants and needs but limited economic resources.

• identifying the goods and services available to you.

• determining how to satisfy needs and wants.

An important principle of the U.S. economic system is

• the right to private property.

• the freedom of choice.

• competition.

• all of the above

If freezing weather damages orange crops in Florida

• the price of orange juice will decrease.

• the supply of oranges will remain unchanged.

• the demand for oranges will decrease.

• the price of oranges will increase.

Water, air, and minerals are examples of

• capital resources.

• natural resources.

• consumer resources.

• human resources.