Principles of Business Chapter 1

TRUE or FALSE: Goods and services are purchased by businesses as well as individuals.

• TRUE

• FALSE

TRUE or FALSE: All economic resources have a limited supply.

• TRUE

• FALSE

TRUE or FALSE: Things that are required in order to live are known as wants.

• TRUE

• FALSE

TRUE or FALSE: A person who buys and uses goods and services is called a consumer.

• TRUE

• FALSE

TRUE or FALSE: A person who buys and uses goods and services is called a consumer.

• TRUE

• FALSE

Which of the following is an economic need?

• a new TV

• Water

• concert tickets

• a loaded SUV

The largest producer of goods and services in the world is?

• Japan

• Russia

• United States

• China

If everyone had an unlimited supply of economic resources, which of the following would not exist?

• wants

• capitalism

• scarcity

• needs

What is the first step in the decision-making process?

• Identify the Choices

• Define the problem

• Evaluate the choices

• Act on your choice

In every nation on Earth,

• economic resources are owned and controlled by the government

• workers have the ability to produce the same goods and services

• individuals have the same wants and needs

• people must deal with the problem of scarcity