Move It Monday: Fundamentals of Economics

Which economic situation is characterized by unlimited wants exceeding limited resources?

• shortage

• surplus

• specialization

• scarcity

Opportunity cost is best described as the

• sum of all production costs

• most expensive resource used in production

• value of the next best alternative foregone when a choice is made

• monetary value of all alternatives forgone when a choice is made

Machines, factories, and tools are examples of which productive resource?

• capital

• human

• natural

• entrepreneurship

What should ALWAYS be considered when making rational decisions?

• marginal benefits and marginal costs

• the real dollar amounts of the items

• whether to use fiscal or monetary policy

• how many opportunity costs there are

Which of the following is NOT one of the three basic economic questions that must be answered in an economy?

• What to produce

• When to produce

• How to produce

• For Whom to produce

Competition and free enterprise are most common in which type of economic system

• traditional

• market

• command

• planned