Economics Unit 1 CH. 1-3

What is it called when each worker learns one task very well?

• scarcity

• consumerism

• specialization

(blank) represents the range of production possibilities.

• scarcity

• consumerism

• production possibilities curve

• factor market

This measures a country's output and economic health.

• gross domestic product

• consumerism

• economic interdependence

• factor market

What is an example of a nondurable good?

• book

• computer

• money

• food

A nation's wealth is determined by its

• accumulation of all tangible and intangible resources

• natural resources

• accumulation of all tangible products

• product possibilities frontier

Consumers waiting in long lines for new products is an example of

• consumerism

• consumer rights

• consumer responsibility

• scarcity

When a business needs to decide whether a certain action is worth the cost, the most helpful analysis would be a(n)

• production possibility comparison

• cost-benefit analysis

• economic model

• needs assessment

The study of economics involves

• explaining how people deal with scarcity

• studying how things are made, bought, and sold

• explaining how incomes are earned and how jobs are created

• all of the above

(blank) is a system in which government owns and controls some, but not all, of the productive resources.

• free enterprise

• socialism

• traditional economy system

• public education

Which of the following is a disadvantage of a market economy?

• it sustains a high degree of uncertainty

• it restricts personal freedom

• it discourages creativity and new ideas for doing things

• it does not allocate resources as efficiently as other types of economies