Economics and Agricultural Marketing Quiz

Of the following, economics may best be defined as the study of:

• how to allocate the family income

• how to maximize profit

• how resources are used to produce goods and services to be allocated among individuals in the society

• why resources are scarce as they are

Economic differs from other social sciences because of its focus on

• social choices

• social interactions

• Scarcity

• social behavior

The “ceterisparibus” means

• other thins held constant

• absence of government intervention

• scarcity or limited

• closed economy

Theories in science:

• are never based on hunches

• once established, apply forever

• are simplified relations describing reality

• are unconditional predictions about the future

Which of the following is the most basic of the subjects with which the study of economics must seek to deal?

• markets

• money

• profit seeking

• scarcity

Scarcity in economics refers basically to:

• monopolization of existing supplies of goods

• monopolization of resources to produce goods

• monopolization of outlets to sell goods

• none of the above

Which one of the following is not an economic good?

• sunlight

• a space satellite

• free parking on the street

• a free city concert in the park

Basic economic question that any economy must address

• who must be the leader, where s/he must stay, how much s/he will be paid and what must s/he do

• what and how much to produce, how to produce them, and for whom the benefits of production must go

• what, where, when and how production will take place

• where to obtain goods, how much must be paid for them, when they must be consumed and who can buy them

Which of the following is a normative statement?

• A guaranteed annual income will have a distinctive effect on work

• If price controls are removed the energy shortage will be somewhat alleviated

• Price controls on oil and gasoline are only fair

• The minimum wage law causes unemployment among teenagers

Which of the following can be classified under macroeconomic problem?

• The Philippines balance of payment

• The yearly inflation rate

• The annual salaries of government employees

• None of the above