Economics and Government Quiz

What is the reward for the use of land in the factors of production?

• Interest

• Rent

• Wages

• Profit

Which of the following is NOT a factor of production?

• Technology

• Labour

• Land

• Capital

What is the economic term for the greatest benefit or satisfaction from limited resources?

• Scarcity

• Rational Choice

• Utility

• Opportunity Cost

In a free market economy, who primarily controls the resources?

• International bodies

• Non-profit organizations

• The government

• Private individuals

What is the main source of government current revenue?

• Borrowings

• Privatization

• EU grants

• Taxation

Which department is responsible for decisions about taxes and government borrowing in Ireland?

• Department of Education and Skills

• Department of Public Expenditure and Reform

• Department of Finance

• Department of Health

What is a budget deficit?

• When planned expenditure is greater than expected revenue

• When planned revenue is greater than planned expenditure

• When there is no government borrowing

• When revenue and expenditure are equal

Which of the following is a characteristic of economic resources?

• They are free of cost

• They have no alternative uses

• They are unlimited in supply

• They have value

What is the role of the public sector in the economy?

• To compete with private businesses

• To provide services that may not be provided by the private sector

• To reduce government revenue

• To maximize profits

What is the opportunity cost?

• The financial cost of an item

• All the other things we could have done with our resources

• The benefits of the chosen alternative

• The cost of borrowing money