Economics Quiz

What is the factor of production that comprises the stock of human-made resources used to create further goods and services?

• Human capital

• Currency

• Capital

• Productivity

What term describes the problem of deciding how to satisfy unlimited wants with limited resources?

• Economic problem

• Relative scarcity

• Profit motive

• Standard of living

What is the supply of the factors of production (land, labour, capital, and enterprise) that exists in a country called?

• Economies of scale

• Factor endowment

• Intra-company trade

• Widening gap

What does GDP stand for?

• Gross Domestic Product

• General Domestic Production

• Global Domestic Product

• Gross Development Product

What term refers to the knowledge, experience, and skills of individuals that nations must invest in to advance?

• Capital

• Human capital

• Labour-intensive production

• Multinational corporation

What is the basic stimulus for economic activity in a free-enterprise economy?

• Relative scarcity

• Profit motive

• Standard of living

• Currency

What term describes a limited supply of a resource?

• Relative scarcity

• Economies of scale

• Capital-intensive methods

• Productivity

What is a measure of lifestyle standards based on material and quantitative indicators?

• Widening gap

• Standard of living

• Intra-company trade

• Factor endowment

What term describes the increasing economic difference between poor nations and economically advanced nations?

• Capital-intensive methods

• Widening gap

• Economies of scale

• Human capital

What is a production process that predominantly uses capital rather than labour?

• Labour-intensive production

• Capital-intensive methods of production

• Intra-company trade

• Multinational corporation