Economic Systems Quiz

A method used to set a price for a product, with the goal of creating optimum value for both the seller and buyer is known as which of the following?

• pricing

• free market

• economic incentives

• rational choice theory

Which of the following is an economic system where production, wages, and prices are determined via the application of the law of supply and demand, with little or no government regulations?

• economic incentives

• selling price

• free market

• rational choice theory

Which of the following assumes that people will generally make choices based on their own personal preferences and desired outcomes?

• economic incentives

• pricing

• free market

• rational choice theory

_______ often conveys the level of quality of a product

• Price

• Free Market

• Incentive

• Competitors

Fluctuations in economic activity are known as which of the following?

• price elasticity

• market share

• business cycles

• rationing

A distinguishing characteristic of capitalism is:

• essential goods

• profit motive

• government regulation

• economic cycles

Government makes laws protecting _______________, and creates restrictions on certain business practices.

• consumers

• businesses

• investors

• employees

The rivalry between companies selling similar products and services, competing to attract customers with limited dollars to spend is:

• competition

• profit

• motive

• innovation

What three things need to be analyzed during the Discovery stage of the entrepreneurial process to determine if an idea can become an opportunity?

• A mail, materials, market

• B materials, market, marketing

• C market, margin, mission

• D margin, MBA, digital marketing

A Business Plan might also be called a

• A innovation and/or details

• B balance sheet and/or cash flow statement

• C human resource policy manual and/or bank loans

• D roadmap and/or pitch deck