Unit 2 - Economics and China Summative Assessment

Scarcity is best explained as:

• Costs of our actions
• The fact that there isn’t enough of any resource to meet our needs
• Benefits of our actions
• What we give up by doing a task

Which of the following is an example of a scarce resource?

• Time
• Water
• Oil
• All of the above

Supply is ______

• How much of a good exists
• What people do when they are bored
• Limited resources
• The consequence of paying attention

Demand is ______

• How much of a good people want

• What people do when they are bored
• Limited resources
• The consequence of paying attention

Which word best matches “cost”

• Economics
• Rewards
• benefit
• Consequence

Which word/phrases best match “benefit”

• Get out

• Rewards
• cost

• Consequence

When Banana Phones first hit the market there were very few of them. This means there was a

• Low supply
• High supply
• Low demand
• High Demand

When Banana Phones were first available everyone wanted them. This means there was a

• Low supply
• High supply
• Low demand
• High demand

If the supply for Banana Phones was low and demand was high, what was the price

• Low
• High
• There is no way to tell
• All of the above

You are given the choice of playing video games or coming to school. What is the cost of coming to school?

• You can no longer play video games
• You get to come to school
• You learn about social studies
• There are no costs to coming to school