Specialization, Scarcity in Market Economy

Which of the following is NOT a capital resource?

• machinery

• equipment

• copper

• factory

Burger King and McDonalds keep the prices low because of

• competition

• limited role of government

• property rights

• freedom of interprise

Kathy, Sue, and Christina own a bakery. Each day all three women spend hours baking cakes, decorating cakes, and packaging cakes. Which economic concept would help them become more efficient?

• scarcity

• specialization

• productivity

• interdependence

If two people are packing and delivering food, what is the most efficient way to do the job?

• Both people pack and deliver as a team.

• One person packs on Monday while the other delivers and then they switch jobs.

• One person packs all the orders and the other delivers them.

• One person packs half and delivers them; then the other packs the other half and delivers them.

Job that he has had no time to work on his car. He decided to pay his friend, Larry, to do some vehicle maintenance for him.

What is this type of economic transaction known as?

• Specialization

• Marginal analysis

• Interdependence

• voluntary exchange

Workers perform fewer tasks in order to operate more efficiently

• Land

• Factors of Production 

• Division of Labor

• Marginal Benefit

How does division of labor increase productivity?

• Workers require minimal training.

• Workers become expert at one task.

• Workers require minimal training.

• Workers move often from job to job.