Intro Economics Quiz

What is the fundamental problem of economics?

• Unlimited resources and unlimited wants

• Unlimited resources with limited wants

• Equal distribution of resources

• Unlimited wants with limited resources

Which of the following is an example of a service?

• A checkout person at a grocery store

• A loaf of bread

• A cow for milk production

• A factory building

What is the term used for what people give up when they make a choice to have one want satisfied?

• Opportunity costs

• Production costs

• Resource costs

• Demand costs

What are the three categories of productive resources?

• Goods, services, and resources

• Land, labor, and capital resources

• Opportunity, production, and demand resources

• Natural, human, and capital resources

What are natural resources also referred to as?

• Land

• Water

• Air

• Farms

What are capital resources used to produce?

• Goods and services

• Natural resources

• Human resources

• Opportunity costs

What is the primary way in which goods and services are allocated in many societies?

• Based on government regulations

• Based on willingness and ability to pay

• Based on random selection

• Based on individual needs

What type of economic system is the U.S. economy most accurately referred to as?

• Traditional economy

• Mixed-market system

• Market economy

• Command economy

What are the three essential questions that guide economic choices?

• Who, what, and where

• What, how, and when

• What, how, and who

• Why, when, and how

What is the term used for organized societies creating frameworks for deciding what goods and services their people will produce?

• Resource allocation

• Market regulation

• Production planning

• Economic systems