Economic Systems and Trade Barriers Quiz

What is scarcity?

• The limited supply of something

• The abundance of all resources

• The unlimited supply of something

• The equal distribution of resources

What are the three basic economic questions that each country must ask?

• What goods/services will be produced? How will goods/services be consumed? Who will produce the goods/services?

• What goods/services will be produced? How will goods/services be produced? Who will consume the goods/services?

• What goods/services will be consumed? How will goods/services be produced? Who will produce the goods/services?

• What goods/services will be consumed? How will goods/services be consumed? Who will produce the goods/services?

Which economic system is based on customs, traditions, and beliefs of the past?

• Market Economy

• Mixed Economy

• Command Economy

• Traditional Economy

Which economic system is characterized by the government making all economic decisions?

• Market Economy

• Command Economy

• Mixed Economy

• Traditional Economy

Which economic system is based on the changes in prices that occur as buyers and sellers interact in the market place?

• Mixed Economy

• Traditional Economy

• Market Economy

• Command Economy

What are the four factors of production that influence economic growth within a country?

• Supply, Demand, Price, Competition

• Imports, Exports, Trade Barriers, Tariffs

• Labor, Money, Technology, Government

• Natural resources, Investment in Human Capital, Investment in Capital Goods, Entrepreneurship

What is the total value of all the goods and services produced in a country in one year called?

• Inflation Rate

• Unemployment Rate

• Gross Domestic Product (GDP)

• Consumer Price Index (CPI)

What are natural resources?

• Labor and human effort

• All of the things found in or on the Earth

• Man-made objects used in production

• Money and financial assets

What is the term for all the skills, talents, education, and abilities that human workers possess?

• Human Resources

• Capital Goods

• Human Capital

• Entrepreneurship

What is the term for people who provide the money to start and operate a business?

• Investors

• Entrepreneurs

• Consumers

• Workers