Economics Quiz 1

Trading a financial instrument involving high risk, in expectation of significant returns

• speculation

• law of demand

• inflation

• GDP

When two successive quarters or six months show a decrease in real GDP

• deflation

• recession

• macroeconomics

• models

A decrease in general price level of goods and services

• capitalist economy

• deflation

• scarcity

• price signals

when the price goes up, people buy less, when the price does down, people buy more

• CPI

• specialization

• law of demand

• productivity

Whatever you give up to do something

• GDP

• technology

• command economy

• opportunity cost

The GDP of the country divided by its population

• GDP per capita

• speculation

• CPI

• macroeconomics

Why are some countries more successful than others

• productivity

• inflation

• recession

• law of demand

What Adam Smith called the division of labor

• specialization

• capitalist economy

• price signals

• speculation

The relationship among people and groups

• speculation

• CPI

• social structure

• macroeconomics

An increase in currency supply relative to the number of people using it, resulting in rising prices of goods and services over time

• deflation

• law of demand

• technolgy

• inflation