Economics Basics

__________________ is the willingness and desire of a peson to buy a good. 

• Supply
• Service
• Demand

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?

Opportunity Cost is best defined as

• The best rejected alternative you give up when making a decision 
• 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 

Which of the following would be an example of human capital? 

• The amount of workers who work in a Nike factory
• The skills of the shoe designers at Nike 
• Philip Knight, the CEO of Nike 
• The land that the Nike headquarters is located on in Beaverton Oregon

Soil, minerals, air, water, and coal are all examples of

• Fossil fules
• Conservation
• recycling
• natural resources

Antonio has an Economic test tomorrow and knows that if he stays up and studies until 11 p.m. he has a good chance of making an A on the test.  However he is really tired and knows that if he goes to bed at 10:00 p.m. he can easily make a B on the exam.  What is Antonio's opportunity cost if he goes to bed at 11:00 p.m.

• An A on the exam 
• making a B on the exam 
• Losing one hour of sleep
• gaining one hour of sleep

What term describes the tools and technology used to make a product?

• capital goods
• human capital
• exports
• imports

Which of the following is a need?

• clothes
• car
• job
• smart phone

What is the meaning of Trade-Off?

• Having more than you want, or need.
• When people work in jobs where they produce a few special goods, or services.
• When you get a little lees of ne thing in order to get a little more of something else.
• Something one person does for someone else.

Which of the following is one of the three basic economic questions?

• What price should be set for goods and services?

• How can income be shared?

• How should goods and services be produced?

• How is a budget created?