Econ Midterm

What are the 4 Factors of Production?

• Land, Capital, Owner, Labor

• Business, Machinery, Money, Resources

• Resources, Capital, Labor, Business

• Land, Capital, Entrepreneurship, Labor

What is Opportunity Cost?

• Pizza

• Value of the Next Best Choice

• Lack of products

• The item chosen over another

Jake goes to the movies on a school night and is out until midnight. He has a big math exam the next morning. What was the opportunity cost for going to the movies?

• Sleep

• Studying

• Buying Pizza

• Seeing a different movie

What is scarcity?

• Surplus of Goods

• Large Demand

• Low Price

• Short Supply

If the point is inside the line of a Production Possibilities Curve what is that point?

• Efficient and Possible

• Inefficient and Impossible

• Inefficient and Possible

• Efficient and Impossible

True or False: A point outside of the Production Possibilities Curve is possible

• True

• False

In the picture provided. Which point is inefficient?

• A

• B

• X

• D

In the picture provided. Which point is an equal production of sugar to coffee?

• A

• B

• X

• D

In the picture provided. Which point is impossible to obtain?

• A

• B

• X

• D

What product is being produced more in point C?

• Coffee

• Creamer

• Sugar

• Tanks