Economics Quiz

If there is not enough of something to go around for all the people who want it, it is called:

• entrepreneur

• barter

• scarcity

What is barter?

• using things from nature

• trading something of value for something else without the use of money

• doing the work

Needs are things people MUST HAVE TO LIVE. Which of the following are needs?

• Food and water

• Luxury car

• Smartphone

• Designer clothes

Name one thing that is NOT a need,

• designer clothes

• water

• Food

• Shelter

What is the cost of running a business called?

• needs

• profit

• expenses

The reason people start businesses is to:

• get food

• make a profit

• have fun

Name some of the capital resources the Little Red Hen used in the story.

• kitchen and oven

• cat and mouse

• horse and dog

• A barn and a silo

Which of these events happened FIRST?

• A. The Little Red Hen baked the bread.

• B. The Little Red Hen bartered her eggs for wheat.

• C. The Little Red Hen took the wheat to the mill to be made into flour.

• D. The Little Red Hen fed bread to her chicks.

People (or hens) who take risks to start their own businesses are called:

• scarcities

• human resources

• entrepreneurs

What was the Little Red Hen's "profit" in this story?

• feeding her chicks

• paying her expenses

• making money