Basics of Economics

Which of the following is NOT a basic economic question?

•  FOR WHOM to produce 
• WHEN to produce
• WHAT to produce
• HOW to produce

The four factors of production are land, capital, labor, and financing.

• True
• False

Microeconomics is the study of  the individual and the market.

• True
• False

Point D on the chart most likely show an economy that ...

• has unemployment
• is growing
• is using all it resources
• is having inflation

Point L on the chart most likely show an economy that ...

• has unemployment
• is growing
• is using all it resources
• is having inflation

What term means not enough to satisfy unlimited wants?

• Goods

• Scarcity

• Services

• Opportunity Cost

• Trade-Offs

What term means things people do for others, i.e. haircuts, teaching etc.

• Goods

• Scarcity

• Services

• Opportunity Cost

• Trade-Offs

What term means Everything you give up to get something else

• Goods

• Scarcity

• Services

• Opportunity Cost

• Trade-Offs

What term means stuff you can buy

• Goods

• Scarcity

• Services

• Opportunity Cost

• Trade-Offs

What term means the second best alternative that must be given up to get something

• Goods

• Scarcity

• Services

• Opportunity Cost

• Trade-Offs