Basic Economic Problems Quiz

A finite resources and limited wants

B finite resources and unlimited wants

C infinite resources and limited wants

D infinite resources and unlimited wants

A Choice is necessary to achieve an equilibrium price.

B Limited resources have many uses.

C Manufacturers produce a large variety of foods.

D The market leads to an unequal distribution of goods.

A a discovery of oil in the South China sea

B an oil rig bought by an oil company

C money held by the oil companies in their bank accounts

D the productivity of oil workers

A The fruit picked from the tree is called land.

B The managers of a company are called enterprise.

C The money used to finance a project is called capital.

D The owner of a company is called labour.

A cost of water

B loss of farmland

C sales of golf equipment

D wages of golf course staff

A The output from 20 hectares used for growing potatoes.

B The output from 20 hectares used for growing wheat.

C The output from 60 hectares used for growing wheat.

D The output from 80 hectares used for growing potatoes.

A a fall in unemployment

B an increase in the rate of income tax

C an increase in the labour force

D a reduction in expenditure on education

A A production possibility curve is an alternative name for an industry supply curve.

B A production possibility curve is an economic model of potential output.

C A realistic production possibility curve must be drawn as a straight line.

D A production possibility curve applies only to an economy's production of goods.

A a bank manager

B a government finance minister

C a shareholder in a firm

D a worker

A costs and revenues of a firm

B individual consumer behaviour

C policies for economic growth

D wages for different occupations