Review WH Unit 1 : Lesson 6 - The Basics of Economics

Suppose a cold wave freezes one-fourth of the orange crop. According to supply and demand, what will happen?

• Fewer people will want oranges.

• The price of oranges will increase.

• Orange growers will lose money.

• Orange growers will sell their orchards.

Which is an example of opportunity cost?

• Boris decides to buy a new suit instead of a tablet.

• Dexter babysits so he can save money for college.

• Mimi borrows money from a bank to refurnish her store.

• Elena trades a vintage dress for a vintage pair of shoes.

Which factor usually hurts an economy in the long run?

• Territorial expansion

• New technology

• High productivity

• Slave labor

A traditional economy does not use ​ (a)  

• money
• credit cards
• government intervention
• private businesses

The primary task of an entrepreneur is to ​ (a)   a business.

• create
• invest in
• work in
• buy from

1. Which of the following activities is a primary task of any entrepreneur?

2. 
   

• renting out land

• manufacturing a product

• establishing a new business

• hiring a large staff

Traditional economies are based on ​ (a)   .

• bartering and trading
• government control of industry
• the law of supply and demand
• cryptocurrency

In ​ (a)   economies, the government controls the prices and manufacturing.

• command
• traditional
• market
• mixed

Examples of goods are

• computers

• babysitting

• furniture

• nursing

Examples of services are​ ​

• nursing

• computers

• babysitting

• furniture