Economics Review Test 1

Which of the following can be categorized as a want?

• Food

• Water

• Shelter

• iPhone

Is this an image of a want or a need?

• need

• want

Which factor of production would you consider a lawn mower?

• Land
• Labor
• Capital
• Entrepreneur

The people who come to a market to buy goods and services.

• Producers

• Consumers

• Economist

• Entrepreneurs

Land, labor, capital, and entrepreneurship

• Economy
• Infrastructure
• Factors of production
• Capital

What is scarcity? 

• Having too many resources 
• Not  having enough resources 

The economic problem is that

• resources are limited and wants are limited.

• resources are unlimited and wants are limited.

• resources are limited and wants are unlimited.

• resources are unlimited and wants are unlimited.

The opportunity cost of a good is

• its price in dollars and cents.

• the alternative cost of goods forgone/given up.

• one of the factors of production

• none of the other options

What is a tangible economic product that is useful, relatively scarce and transferable to others?

• Wealth

• Service

• Capital

• Good

The sum of a person’s or nation’s tangible economic goods is called:

• wealth

• value

• utility

• paradox of value