Economics Exam

_____ is the study of how individuals and societies make choices under the condition of scarcity.

• Economics

• Global Studies

• Ecology

• Psychology

A __________ shows the maximum combinations of two goods that can be produced when all resources and the best technology is used.

• production possibilities curve

• supply and demand graph

• trade-off

• net value

You are making a choice between four different alternatives. The opportunity cost of your choice is _______________ .

• value of the next best alternative

• summed value of all alternatives

• value of chosen alternative

______ are benefits or costs of an action that influence people's decisions and behavior.

• Incentives

• Opportunity costs

• Marginal Benefits

What are the four factors of production?

In a _____ economy, the individuals and the government share in the economic decision-making process. These groups work togther to ensure economic development.

• mixed

• market

• command

• domestic

In _________ economies, history, culture, and past actions determine the answers to the three economic questions.

• traditional

• mixed

• command

• market

__________ economies are controlled by the government and may experience shortages or rationing.

(Think about the economy in The Hunger Games)

• Command

• Market

• Mixed

• Traditional

Profit is equal to--

• total revenue divided by total cost

• total revenue minus total cost

• per unit revenue minus total cost

• total revenue plus total costs

Land, labor capital and entrepreneurial ability are sold in the ______ market.

• factor

• product