Chapter 8- Economic Environment of Business Review

Form utility usually applies to services and not goods.

• True

• False

Economic utility is one of the four types of utility that satisfies wants.

• True

• False

Selling snow tires to a customer during the first snow storm of the season is an example of providing time utility.

• True

• False

Entrepreneurship is a factor of production.

• True

• False

If a country did not produce any capital goods, it could not produce many consumer goods.

• True

• False

Capital goods directly satisfy human wants.

• True

• False

The availability of natural resources, labor, and capital goods are all that is needed to produce goods.

• True

• False

When productive resources are used for capital formation, fewer consumer goods are produced.

• True

• False

US has adequate resources to satisfy all the wants of its people.

• True

• False

Countries with a command economy are often dictatorships.

• True

• False