Chapter 16 Quiz: Introduction to Economics

What is the study of how individuals and nations make choices about ways to use scarce resources to fulfill their needs and wants?

• Social Sciences

• Civics

• Politics

• Economics

What is the situation of not having enough resources to satisfy all one's wants?

• Abundance
• Plenty
• Excess
• Scarcity

What are the three types of economic resources?

• labor, money, and products

• natural resources, labor, and capital

• money, technology, and infrastructure
• goods, services, and products

Basic Economic Question #1: Each country has to decide _______ goods or services will be produced.

Basic Economic Question #2: How will the goods and services be ________?

Basic Economic Question #3: Who will _______, or use, them?

What is the type of economy where the economic questions are answered by habit or custom?

• Mixed economy
• Market economy

• Command economy

• Traditional economy

What is the type of economy where economic decisions are made by private businesses and individuals?

• Command economy
• Mixed economy
• Traditional economy

• Market economy

What type of economy relies on the government to answer the economic questions?

• Command economy
• Traditional economy
• Mixed economy
• Market economy

Phil's alarm goes off and he ranks his options. 1: Go to school 2: Go back to sleep 3: Eat breakfast 4: Play video games. What was the opportunity cost of Phil's decision?

• Go to school

• Go back to sleep

• Eat breakfast

• Play video games