Economics Final

What is the fundamental problem of every society?

• labor costs
• scarcity
• economic interdependence
• market fluctuation

What is the definition of the economic term Opportunity Cost?

• the value of the next best alternative that is given up due to the choice you made 
• The price you pay to purchase something 
• The benefit you gain by making a decision 
• The amount of debt you take on by making a decision 

What does point B represent?

• Production at greater than the country's minimum potential

• Production is less than the country's minimum potential

• Production is greater than the country's maximum potential

• Production at the country's maximum potential

What is the fundamental problem of economics? 

• How to keep consumers out of debt?
• How to fulfill our unlimited wants and needs with limited resources?
• How to figure out the way to make the most money?
• How do we ensure all people get a college education?

If a point lies on the curve this means the company/country/individual is being efficient. If a point lies inside the curve, what does that tell?

• They are being over efficient

• There is an idle, or unproductive, or use of resources

• It is not impossible with the given resources

• They are still efficient, just at another point

TRUE or FALSE: We can have everything that we want because we have unlimited resources.

• TRUE

• FALSE

When the supply of a product or service goes up and the demand stays the same the Price will typically do what? 

• rise
• fall
• stay the same
• Consumer

a person or company that makes, grows, or supplies goods to sell is called the?

• damand
• price
• producer
• shortage

The desire or willingness a consumer has to purchase a good or a service is called?

• shortage
• supply
• price
• demand

This part of the market determines DEMAND

• buyers
• sellers
• suppliers
• store owners