What is the fundamental economic problem discussed at the beginning of the video?

• Monopoly

• Inflation

• Scarcity

• Unemployment

Which resource is described as the mental or physical work of human individuals?

• Entrepreneurship

• Land

• Labor

• Capital

What is the primary focus of microeconomics?

• Businesses and firms

• International trade

• Government policies

• Consumer behavior

What does a point inside the production possibilities curve represent?

• Optimal production level

• Impossible production level

• Inefficient resource use

• Efficient resource use

What is indicated by a point on the production possibilities curve?

• Recession

• Economic growth

• Efficiency

• Inefficiency

What does a bowed-out production possibilities curve indicate about costs?

• Variable costs

• Increasing costs

• Constant costs

• Decreasing costs

What causes the production possibilities curve to shift outward?

• Decrease in resources

• Economic recession

• Increase in resources

• Technological regression

What does Amy's lower opportunity cost in brake jobs suggest about her production?

• None of the above

• Absolute advantage

• Comparative advantage

• Comparative disadvantage

What is the mnemonic used to remember the calculation for opportunity cost in output questions?

• Output over

• Cost over

• Other over

• Input over

What happens to the demand for a product if consumer income increases and the product is a normal good?

• Demand decreases

• Demand stays the same

• Demand increases

• Cannot be determined