Intro to Econ Quiz

Which of the following best captures the fundamental idea of the economic problem?

• Lack of demand for limited resources
• Infinite resources, limited wants & needs
• Limited resources, unlimited wants & needs
• Unlimited resources, unlimited wants & needs

What is an example of macroeconomics?

• Employment rates
• Inflation
• Gross Domestic Product (GDP)
• All of the above

Which of the following will NOT result in a shift in the PPC?

• New machinery created
• Growing labor force
• Demand for a product increases
• Natural disaster occurs

What are the four scarce resources that any economic system must allocate?

• High skilled workers, low skilled workers, knowledge workers, service workers
• Land, labor, capital, entrepreneurship
• Minerals, forest, ocean, energy resources
• Technology, machines, energy, minerals

Which factor of production is the following: Wood

• Land
• Labor
• Entrepreneurship
• Capital

Which factor of production is the following: A Tractor

• Land
• Labor
• Entrepreneurship
• Capital

Which one of these is NOT a key economic concept?

• Equality
• Interdependence
• Scarcity
• Change

A person stocks shelves at a grocery store and receives a wage. They have completed an exchange in which part of the circular flow model?

• Product Market
• Resource Market
• Household
• Firm

The two primary players in a closed circular flow model are:

• Businesses and Firms
• Schools and Businesses
• Households and Firms
• Market and Schools

Which of the following concepts can be modeled using a PPC?

• How governments are more efficient resource allocators than markets
• When all resources are being used, making more of one good means making less of another good
• Societies' preference about the products they want to consume
• How a society can produce more of any good just by allocating resources more efficiently