Economics Exam review part 1

Having to decide whether to spend $15 on a movie or on dinner is an example of what concept?

• Macroeconomics

• Scarcity

• Debt

• Stewardship

Tags

CCSS.L.11-12.4C

CCSS.L.6.4C

CCSS.L.7.4C

CCSS.L.8.4C

CCSS.L.9-10.4C

In this year's budget, the state government decides to spend more money on police departments and less money on fire departments. This is an example of a government making a ________.

• trade-off

• scarce good

• free good

• market choice

Tags

CCSS.L.11-12.4C

CCSS.L.6.4C

CCSS.L.7.4C

CCSS.L.8.4C

CCSS.L.9-10.4C

What three qualities are required for a good to be considered scarce? (Choose three.)

• high price

• limited quantity

• more than one use

• desirable

Which of the following is the best example of narrow thinking?

• Creating a policy that will help farmers make more money but will drastically increase food prices for everyone else

• Creating a policy that will increase the quality of roads throughout the nation

• Creating a policy that will increase the nation's overall productivity by 5%

• 
  Creating a policy that will make it easier for all citizens to get access to quality healthcare

Tags

CCSS.RL.11-12.6

Why are positive statements less likely to cause a disagreement than normative statements?

• Since positive statements can't be proven, it doesn't matter what people think about them.

• Since positive statements can be tested to determine if they're facts, they can be definitively proven true or false.

• Since positive statements are always true facts, they can't ever result in disagreements.

• Since positive statements are simply value judgments, it doesn't matter whether they're true or false.

Tags

CCSS.L.11-12.6

CCSS.L.9-10.6

CCSS.W.11-12.2D

CCSS.W.9-10.2D

CCSS.W.8.2D

When someone considers only the immediate results of a particular choice, that person is using ________.

• results-first thinking

• short-term thinking

• pragmatic thinking

• cognitive thinking

Tags

CCSS.L.11-12.6

CCSS.L.9-10.6

CCSS.W.11-12.2D

CCSS.W.9-10.2D

CCSS.L.8.6

Hazlitt's single economic lesson is this: "The art of economics consists in looking not merely at the immediate but at the ______ effects of any act or policy; it consists in tracing the ________ of that policy not merely for one group but for all groups"

(a)  

Tags

CCSS.L.4.5

CCSS.L.5.5

If you purchase a video game for $20, you won't be able to spend that $20 on anything else. The second-best thing you gave up is called your ________.

• free good

• opportunity cost

• trade cost

• scarce good

Tags

CCSS.L.11-12.4C

CCSS.L.6.4C

CCSS.L.7.4C

CCSS.L.8.4C

CCSS.L.9-10.4C

Which of these is the best example of a bad economic choice a business might make?

• adopting more efficient technology that improves profits and customer satisfaction

• selling its company for a very high value

• coming out with.a profitable new product

• opening a store in a bad location

If an action has a net benefit of $80 and a marginal benefit of $100, what is the marginal cost?

• $180

• $80

• $0

• $20