Economics Basics

Front

Which of the following is one of the three basic economic questions?

• What price should be set for goods and services?
• How can income be shared?
• How should goods and services be produced?
• How is a budget created?

Back

How should goods and services be produced?

Front

Increased competition between producers of a good may lead to:

• a decrease in profit
• an increase in price
• a drop in demand
• a rise in taxes

Back

a decrease in profit

Front

Which type of economic system has the highest level of government control?

Back

command economy

Front

Feature of a good budget?

Back

money reserved for saving

Front

How do companies make a profit?

Back

They try to decrease expenses and increase revenue.

Front

Economy in which people make economic decisions based on their group's customs and values. Not common today.

Back

Traditional Economy

Front

Individual consumers and producers make economic decisions based on the principles of freedom, competition, and profit. Options: Traditional Economy, Market Economy, Command Economy, Mixed Economy

Back

Market Economy

Front

The central government makes all economic decisions.

Back

Command Economy

Front

An economic system combining private and public enterprise.

Back

Mixed Economy

Front

A desire for a certain good or service.

Back

demand