Foundations of Economics Review

What is scarcity? 

• Giving something up to have something else
• Extra cost of production
• The condition that results form having unlimited wants with limited resources
• Rise in general level of prices and workers need more money

Which of the following is NOT a natural resource?

• Oil
• Water
• Car
• Air

Which of the following IS a capital resource?

• Wood
• Computer
• Labor
• Knowledge

Economics can be defined as ________________.

• the science of decision making

• the study of human behavior

• the science of buying and selling

• the study of unlimited resources

Which of the following shows allocation? Select all that apply.

• Budgeting your allowance.

• Spending all your allowance in one day without thinking.

• saving a slice of pizza for your friend who has not yet arrived at the party.

• Deciding how much time to spend playing and studying.

Which of the following is a renewable resource?

• oil

• time

• sun

• coal

A stove would be an example of a __________

• Natural resource

• Human Resource

• Capital resource

A bank teller is an example of a _____________.

• Capital resource

• Natural resource

• Human resource

A tuna would be classified as a _________.

• Capital resource

• Natural resource

• Human resource

Beef would be classified as ___________.

• Human resource

• Natural resource

• Capital resource