civics unit 8 study guide

The factors of production include the number of

• customers needed to make a profit on a good.

• consumers who show an interest in a good.

• employees needed to manufacture a good.

• producers who supply the same good.

What is the price at which equilibrium is achieved?

• $8

• $9

• $10

• $30

Gross domestic product (GDP) is the value of goods and services produced in a country annually.

It can best be described as measuring an economy’s

• total product.

• total demand.

• total input.

• total output.

Aggregate supply is best described as the

• total output of all products and services.

• point of equilibrium.

• nation’s real gross national product.

• excess supply in the market.

It costs Cool Clothes Company $15 to produce one pair of jeans, but they needed to discontinue production of shirts to focus on jeans. For this company, the $15 is the _______, and discontinuation of shirt production is considered their __________.

• opportunity cost; production cost

• production cost; resource cost

• production cost; opportunity cost

• resource cost; production cost

Producer A’s opportunity cost would be

• analyzing the climate to see which fruit would grow better.

• studying the profitability of growing apples versus oranges.

• researching what competitors are doing.

• choosing to grow both fruit varieties or only apples.

What is an example of scarcity

• an abundance of resources

• limited resources

• renewable resources

• a choice of resources

Ms. Delatte is considering buying a new car. Which nonrenewable resource should influence the decision?

• labor

• water

• minerals

• petroleum

Which best defines a service?

• a task that is performed in exchange for payment

• an object that is acquired

• a plan that is executed

• an image that is drawn

The chart shows a production possibilities schedule for Sabrina’s Soccer.

If Sabrina’s Soccer makes three nets, how many balls can the company produce?

• 2

• 4

• 6

• 8