ECONOMICS QUIZ 2A

When you make a choice between 2 things; it's what you give up to do something.

• Supply and Demand

• Scarcity

• Opportunity Cost

What is the term Adam Smith used in recommending to "leave things alone" in a market economy?

• Communism

• Socialism

• Laissez faire

Microeconomics is the study of

• of the whole economy.

• the individual consumer.

• scarcity.

Macroeconomics is the study of

• the whole economy.

• of the individual consumer.

• engineering.

The people who do the labor/work; who produce goods and services.

• Natural Resources

• Capital Resources

• Human Resources

The purpose of government in a command economy is to:

• Ensure the availability of consumer products

• Make major economic decisions

• Promote economic freedom

This picture illustrates what economic system?

• Market

• Command

• Traditional

Which group of people ultimately determines the products that a true free market economy produces?

• Congress

• Property Owners

• Consumers

The best example of a market economy is:

• The Inuit

• The former Soviet Union

• The United States

The special skills that many workers have (have earned much education or training in the skill)

• Scarcity

• Supply and Demand

• Specialization