Foundations of Personal Finance Chapter 13

Economics is a study of consumer ________.

• Choices

• Availability

• Supply

• Demand

Every country has a unique ________ that includes its leadership, the way it makes decisions, and how the country's citizens buy stuff.

• Economic system

• Entrepreneurship

• Supply and demand

• Command economy

The U.S. is mostly a . . .

• Focused economy

• Free market

• Demand

• GDP

What you choose to ________ has a(n) ________ on the economies of other countries.

• Buy; impact

• Make; influence

• Do; fallout

• Trade; affect

Economic interdependence . . .

• Describes how all the countries of the world handle their money

• Describes how many countries and companies around the world depend upon each other

• Means that we're all dependent upon the economy for our personal happiness

• Means that countries do not depend on each other for their economic well-being

A ________ economy is built on primary industries such as fishing and farming, and it generally has very little waste and very little surplus.

• Market

• Mixed

• Traditional

• Command

What is specialization?

• It's when a person chooses to specialize in one career field but it ends up harming their economy.

• It's when a capitalist nation decides to focus its efforts on producing only 7 types of services.

• It's when a country focuses its efforts on producing a limited variety of goods or services.

• It's when an economy is completely self-sustaining.

The buying and selling of various goods and services is called __________.

• Marketplace

• Trade

• Scarcity

• Economic interdependence

__________ is the science of the whole economy, while __________ is the study of people, individual businesses, or markets.

• Global economics; microeconomics

• Macroeconomics; global economics

• Macroeconomics; microeconomics

• Microeconomics; macroeconomics

Supply and demand helps us understand how the __________ of a particular product and the __________ for it affect the price of the item.

• Worth; supply

• Look; feel

• Demand; need

• Availability; desire