Petroleum and Economic Concepts Quiz

What discovery in the 1850s made petroleum valuable?

• It could be used to make plastic.

• It was found to be a good fertilizer.

• It could be burned to make heat and smoke-free light.

• It was used as a food preservative.

Who drilled the first successful oil well in Titusville, Pennsylvania?

• John D. Rockefeller

• Edwin L. Drake

• Andrew Carnegie

• Henry Ford

What are the three factors of production according to economists?

• Land, Labor, and Capital

• Money, Machines, and Materials

• Resources, Revenue, and Risk

• Technology, Transportation, and Trade

What is horizontal integration?

• Combining different types of businesses into one corporation

• Combining competing companies of the same type into one corporation

• Expanding a business into new markets

• Reducing costs by outsourcing labor

How did corporations help fuel the industry in the late 1800s?

• By reducing the need for labor

• By selling stocks to raise capital

• By focusing on agriculture

• By eliminating competition

What business strategy did Rockefeller use to gain partial control of other companies?

• Monopoly

• Trust

• Vertical Integration

• Holding Company

Who was a leading figure in the steelmaking industry?

• John D. Rockefeller

• Henry Bessemer

• Andrew Carnegie

• Thomas Edison

What process did Henry Bessemer invent?

• Open-hearth process

• Vertical integration

• Bessemer process

• Trust formation

What is vertical integration?

• Buying out competitors

• Buying companies at all stages of production

• Merging with other companies

• Forming a monopoly

What did Carnegie build in New York City?

• University of Chicago

• Carnegie Hall

• Rockefeller Center

• Empire State Building