RESA: MC3 Social Studies Unit 2 Assessment Gr. 3 - Economy of Michigan

What happens to the price of a product if consumers demand more of it and there is a limited amount of the product?

• The price goes up.

• The price stays the same.

• The price goes down.

What is the reason why food and drinks may not be allowed to be brought into the theater even though those items are sold inside the theatre?

• It is not fair if you have your favorite candy and do not want to share it.

• The theater has food that moviegoers enjoy.

• The owners of the theater want you to buy the food they sell inside.

An incentive is like a bonus. It's an extra "win." Which incentive has the Michigan government offered people in order to increase recycling efforts?

• paying two dollars for picking up trash

• paying fifty cents for collecting newspapers

• paying ten cents for returned pop bottles

Patti and Mary owned a business. They used Michigan cherries to make syrup for ice cream. One year there were not enough cherries due to the late freeze. They could not make cherry syrup that year. What is the term for the shortage of cherries?

• fruit abundance
• cherry scarcity

• cherry surplus
• crop success

Ann and Joe are farmers in the Upper Peninsula of Michigan. They wanted to open a book store.

However, there was an increase in demand for fudge due to the increase in tourism. They decided

to learn how to produce fudge and open Ann's Fudge Store instead. Ann and Joe were experiencing opportunity cost. What does this mean?

• They have more money than they know what to do with.

• They miss out on having a book store but make more money with the fudge.

• They won't be making as much money by making fudge.

When the store was opened, Ann wanted to decide the flavors to make. She knew that cherries and blueberries were readily available. She decided to make half the flavors cherry and blueberry. How is this an example of choice?

• Ann decided what consumers can buy at her shop.

• Blueberries and cherries are easy to find

• There is no end to the number of things people want and need

The following year cherries were not available and Ann had to use mostly blueberries for her fudge. Most customers had to buy blueberry fudge at a lower price because it could be sold at a lower price. What does this show?

• Scarcity affects what we can buy in Michigan

• Opportunity cost affects what is consumed

• Demand affects what is consumed in Michigan

Machines and buildings used in production are what kind of resource?

• natural resources

• capital resources

• human resources

Capital resources are human made goods. What is one example of a capital resource that is shown in the pictures?

• The cashier

• The land

• The delivery truck

Human resources include humans/people. A new car company is being started in Michigan. Which list of answers below shows the human resources that might be needed to run the new company?

• factory worker, designer, engineer

• machines, tools, welder

• iron, petroleum (oil), minerals