Chapter 1 Quiz Review

Tangible products you can purchase to meet your wants and needs are called goods.

• True

• False

A video game is an example of a product that fulfills a need.

• True

• False

Competition forces businesses to search for new ways to satisfy customers' wants and needs.

• True

• False

Economists predict future changes in the economy.

• True

• False

The basic economic problem is

• deciding what goods and services to produce

• having unlimited wants and needs but limited economic resources.

• identifying the goods and services available to you.

• determining how to satisfy needs and wants.

Water, air, and minerals are examples of

• capital resources

• consumer resources

• human resources

• natural resources

In which economic system are resources owned and controlled by the people of the country?

• mixed economy

• command economy

• market economy

• traditional economy

In which economic system do workers often use hand tools and readily available natural resource

• command economy

• traditional economy

• mixed economy

• market economy

In which economic system do consumers base their decisions on their own self-interest?

• mixed economy

• command economy

• market economy

• traditional economy