Missouri's Economic Priorities Quiz

What is profit?

• The amount of money one loses in a business transaction

• The total sales of a business

• The amount of money left after all expenses are subtracted from the total sales

• The initial investment made into a business

What does scarcity refer to in economics?

• The abundance of resources

• The limited nature of society's resources

• The unlimited wants of consumers

• Both B and C

What is opportunity cost?

• The cost of the next best alternative use of money, time, or resources when one choice is made over another

• The total cost of producing a good or service

• The cost of purchasing a good or service

• The cost of not choosing the best alternative

What does interdependence mean in an economic context?

• Relying on oneself for all of one's needs

• Relying on domestic resources only

• Countries or people relying on each other to provide goods and services

• The independence of markets from each other

What is consumption in economics?

• The production of goods and services

• The saving and investment in stocks

• The use of goods and services by households

• The distribution of goods and services

Which of the following best describes production?

• The process of creating goods and services

• The consumption of goods and services

• The distribution of goods and services

• The saving of goods and services

What is the primary goal of saving and investment in economics?

• To decrease consumption

• To accumulate wealth for future spending

• To increase immediate consumption

• To avoid taxes

Which of the following are considered natural resources?

• Factories

• Water

• Computers

• Skills of a workforce

What distinguishes goods from services?

• Goods are intangible, while services are tangible

• Goods are tangible and can be stored, while services are intangible and are consumed at the point of delivery

• Goods are always more expensive than services

• Services can be stored for future use, while goods cannot

Which of the following is an example of human resources?

• Oil

• Machinery

• The skills and knowledge of a teacher

• A computer software