Power and Trade Quiz

What is an economic system?

• A type of government system

• A form of entertainment

• A way in which a society organizes the production, distribution, and consumption of goods and services.

• A method of communication

Name the three types of power.

• political, social, economic

• physical, political, electrical

• social, political, feudalism

• socialism, physical, political

What makes a good currency? (Check all that apply)

• Difficult to counterfeit

• Durable

• Acceptable to All

• Includes a leaders face

How does inflation impact the value of money?

• Negatively, it causes the value of money to go down.

• Positively, it causes the value of money to go up.

• It makes everyone wealthy.

• It doesn't change moneys value at all.

Define trade.

• Trade refers to the transportation of goods and services, while commerce refers to the storage of goods and services.

• Trade involves the exchange of goods and services.

• Trade is the same thing as commerce.

• Trade is only the exchange of goods.

What are the benefits of international trade?

• Decreased economic growth, limited access to goods and services, higher prices for consumers, job loss, and strained international relations.

• No benefits at all.

• Increased economic growth, access to a wider range of goods and services, higher prices for consumers, job loss, and strained international relations.

• Increased economic growth, access to a wider range of goods and services, lower prices for consumers, job creation, and improved international relations.

What is scarcity?

• The economic concept of abundant resources and unlimited wants and needs.

• The economic concept of no resources and unlimited wants and needs.

• The economic concept of unlimited resources and limited wants and needs.

• The economic concept of limited resources and unlimited wants and needs.

Explain the concept of opportunity cost.

• Opportunity cost is the cost of the most expensive alternative chosen.

• Opportunity cost is the cost of the next best alternative foregone.

• Opportunity cost is the cost of the least desirable alternative chosen.

• Opportunity cost is the cost of the same alternative chosen multiple times.

What are natural resources?

• Materials or substances that are found only in man-made structures and can be used for economic gain.

• Materials or substances that are harmful to the environment and can be used for economic gain.

• Materials or substances that are artificially created and can be used for economic gain.

• Materials or substances that occur naturally in the environment and can be used for economic gain.

What is the relationship between scarcity and resources?

• Scarcity is unrelated to the availability of resources.

• Resources are abundant and do not contribute to scarcity.

• Scarcity is caused by excessive resources.

• Scarcity arises due to the limited availability of resources.