Economics Quiz

What do manufacturers do in an economic system?

• They consume goods

• They create goods based on consumer wants or needs

• They destroy goods

• They only sell services

What is the Gross Domestic Product (GDP)?

• The total value of goods produced and services provided in a country during one year

• The total number of consumers in a country

• The total amount of money spent by the government

• The total number of products manufactured in a year

What is an example of a want according to the text?

• Shelter

• Food

• Cars

• Water

What is the main focus of economics?

• How to make money

• How to create goods

• How people make choices to get what they need and want

• How to sell products

What are durable goods?

• Goods that need to be replaced often

• Goods that are inexpensive

• Long-lasting goods that do not need to be replaced often

• Goods that are used once and discarded

Which of the following is an example of a durable good?

• Washing machine

• Paper

• Detergent

• Food

Which of the following is NOT a characteristic of consumable goods?

• They are used or replaced often

• They are long-lasting

• They are often inexpensive

• They cannot be reused

What is the main difference between durable and consumable goods?

• Durable goods are used once

• Consumable goods last a long time

• Durable goods do not need to be replaced often

• Consumable goods are never used

What is the term for the payment producers make for using capital?

• Economic profit

• Economic rent

• Wages

• Interest

Why might an artist only make a specific number of paintings?

• To create a surplus

• To make them scarce

• To lower the price

• To increase production