1-3 business

_________ is an example of a product of monopolistic competition.

• Electricity

• Aspirin

• Cotton

• Wheat

Marlon is an entrepreneur who sells homemade goods such as custom aprons and kitchen tools. Since his business is done exclusively online and he makes his goods at home, he saves on building and other brick-and-mortar costs, which allows him to pass that savings on to his customers. Reducing prices to customers is an element of

• Demand

• equilibrium pricing

• supply

• competition

During an economic recession, The United Provinces of Utopia government provided loans and took ownership positions the country’s primary financial institution, Bank Co. What economic system does this exemplify?

• pure capitialism

• socialism

• modified capitalism

• communism

A large grocery store chain uses a system that can track product history through the entire supply chain to the store, verify transactions, and handle payments. What technology is this system most likely based on?

• A.I

• Drones

• big data

• blockchain

Answer explanation

Blockchain is a decentralized record-keeping technology that stores linked block of ordered transactions over time. It can track product history, generate invoices, detect counterfeit products, manage returned products, and help find and reuse materials rather than new resources. It can enable firms to trace deliveries, verify transactions, and handle payments.

Which of the following is true of economic expansion?

• There is a decline in spending

• The standard of living rises because more people are employed and have money to spend.

• There is a decline in production, employment, and income.

• The prices stagnate during this period.

Which of the following is NOT an example of a service?

• telemedicine visit

• smartphone

• haircut

• sports events

Which of the following is a characteristic of the marketing economy phase of the American economy?

• Farm families who produced surplus goods sold or traded them for things they could not produce themselves.

• Farm families who produced surplus goods sold or traded them for things they could not produce themselves.

• People were self-sufficient and produced everything they needed at home, including food, clothing, and furniture.

• People found natural resources, such as coal and iron ore, and used them to produce goods, such as horseshoes.

Alex bought a chain of salons and spas. He invested his wealth and time to enhance the salons with full-service bars, child care for employees and guests, and premium furniture. Since other salons and spas in the area are not offering these types of amenities, he expects this innovation will result in a profit. Alex is a(n)

• Category captain

• trade creditior

• entrepreneur

• risky investment

Which of the following is a characteristic of a service economy?

• It is particularly important for enabling farmers to send their surplus crops and goods all over the nation for barter or for sale.

• It is concerned with the indigenous production of food, clothing, and furniture.

• It is devoted to producing services that make life easier for busy consumers.

• It is significant for the development of factories along the railways to manufacture farm equipment.

A company is willing to sell its products for the same price that the consumers are willing to buy the product. This price represents the equilibrium price.

• true

• False