Economy and Manufacturing Quiz

What is an economy?

• The production of goods through labor and machinery

• The creation of new products from raw materials

• The system for deciding how scarce resources are used

• The trade of goods and services between countries

Which sector is made up of individuals providing their time and skills to firms?

• Financial sector

• Firms sector

• Government sector

• Household sector

What does the Firms sector do?

• Trade with other nations

• Produce output and sell to consumers

• Receive savings from households and firms

• Provide public goods and services

What is manufacturing?

• The production of goods through labor and machinery

• The creation of new products from raw materials

• The system for deciding how scarce resources are used

• The trade of goods and services between countries

What are the types of manufacturing production process?

• Make to stock, Make to order, Make to assemble

• Make to sell, Make to produce, Make to distribute

• Make to produce, Make to distribute, Make to stock

• Make to order, Make to assemble, Make to sell

What does the make to order method allow the manufacturer to do?

• Wait until orders are received before production begins

• Produce goods that are held in stock at stores

• Predict the market for goods in advance

• React to market demand by producing in advance

What is an example of manufacturing?

• Overseas sector

• Government sector

• Financial institutions

• Automotive companies

Why is manufacturing important?

• It is made up of individuals providing their time and skills to firms

• It helps households and firms invest by lending them money

• It receives taxation revenue from households and firms

• It provides a real boost to an economy

What do manufacturing value added (MVA) indicators compare?

• Manufacturing output to the size of the overall economy

• Manufacturing employment to financial institutions

• Manufacturing employment to inventories and orders

• Manufacturing output to taxation revenue

What do manufacturing institutes like The Institute for Supply Management (ISM) examine?

• Figures for manufacturing employment, inventories, and orders

• Sectors of the economy

• Types of manufacturing production process

• The creation of new products from raw materials