What does "efficiency" mean in economics?

• Using resources to maximize production and minimize waste

• Producing goods faster than competitors

• Selling products at the lowest price possible

• Making sure everyone has equal access to resources

Marginal utility refers to:

• The satisfaction received from consuming one more unit of a good

• The total satisfaction from consuming a good

• The cost of producing one more unit of a good

• The decrease in total satisfaction as more of a good is consumed

Productivity measures:

• The amount of goods produced in a factory

• How efficiently resources are turned into products

• The total revenue a business generates

• The number of workers in a business

The Free Enterprise System is based on:

• Government control of all businesses

• The freedom for businesses to compete with limited government interference

• Equal distribution of wealth by the state

• Collective ownership of resources

In socialism, the government typically:

• Controls most major industries and redistributes wealth

• Allows free competition without any interference

• Eliminates all taxes

• Minimizes involvement in economic activities

Communism is a system where:

• Private property is encouraged and protected

• All property and resources are owned by the community or the state

• Businesses are allowed to operate freely without restrictions

Which of the following is NOT a factor of production?

• Land

• Capital

• Labor

• Money

Microeconomics focuses on:

• The overall economy and large-scale trends

• Individual consumers and businesses in specific markets

• Government policy and regulations

• International trade and foreign markets

Macroeconomics studies:

• The behavior of individual consumers

• The structure and performance of entire economies

• Small businesses and individual firms

• How businesses maximize profits

Scarcity occurs when:

• Resources are limited and cannot meet all wants and needs

• There is a sudden decrease in consumer demand

• Production is too high for current consumption

• Prices of goods are too high