Economics Basics Quiz

A goal of the Federal Reserve is to -

• keep the economy stable

• provide tax money to the government

• set the tax rate

• prevent the formation of monopolies

An economic system where people, businesses, and the government all make economic decisions is called?

• Traditional

• Mixed

• Free Market

• Command

A person that makes, grows or supplies something is a:

Group of answer choices

• producer

• consumer

• governor

• entrepreneur

The money left over after a business pays for what it costs to make something is called--

• resources

• profit

• purchases

• opportunity cost

In a free market economy --

• consumers decide how much things will cost

• supply and demand decide how much things will cost

• the government decides how much things will cost

• businesses decided how much something will cost

What is Carlos' opportunity cost for going to the movies?

• the price of the movie tickets

• enjoyment of seeing the movies

• value of the computer game

• Going to 7-11 with his friends

What kind of business is best described by this statement?

• proprietorship

• partnership

• corporation

• Stock market

What type of business is described by the list above?

• proprietorship

• partnership

• corporation

• Stcock Market

An entrepreneur is:

• has good ideas and the skills needed to start a business.

• manages financial investments

• someone who works for a bank.

• An engineer

These are referred to as public services because they:

• help many people and are paid for by the government.

• are created by large corporations

• encourage the different parts of the government to work together.

• Are managed by partnerships.