Economics Test 6

Which tax system puts the biggest burden on the poor?

• progressive

• regressive

• proportional

• flat tax

What are the two most important things to budget?

• tithe

• food

• savings

• mortgage

What illegal operation uses money from new investors to pay old investors?

(a)  

What document tells health care professionals what to do if a person becomes medically incapacitated?

(a)  

What is a general legal construct that is owned by shareholders?

(a)  

How many owners are in a sole proprietorship?

• two

• one

• three

• five

Besides its, utility what else determines the value of a good by a consumer?

• scarcity

• adequacy

• productivity

• appeal

What is the basic component of capitalism besides limited government, freedom of enterprise, and competition?

• division of labor

• mass production

• property rights

• capital goods

When supply of a good increases, what tends to decrease?

• demand

• quantity demanded

• equilibrium price

• supply curve

Which economic system bases production of goods on custom and habits?

• command

• free enterprise

• mixed

• traditional