*Unit 1 Review

What is the primary goal of most businesses?

• 
  To serve the government

• To maximize profit

• To provide charity

• To promote socialism

In business, when expenses exceed revenues, it results in a:

• Profit

• Break-even point

• Loss

• Capital infusion

Who are individuals who start their own businesses?

• Investors

• Consumers

• Entrepreneurs

• Regulators

Which of the following is NOT a factor of production?

• Land

• Labor

• Capital

• Taxes

A system where individuals and businesses own and operate the means of production is called:

• Socialism

• Capitalism

• Communism

• Mixed economy

In a free market economy, the price of a product is mainly determined by:

• The government

• Amazon

• Supply and Demand

• Business Owners

Which of the following is NOT a degree of competition in the marketplace?

• Monopoly

• Oligopoly

• Communism

• Pure competition

Fiscal policy involves government actions related to:

• Cellphone bans

• Taxes and government spending

• Espionage

• Elections

What does GDP stand for in economics?

• Gross Domestic Product

• Gross Development Progress

• Government Debt Payment

• Global Demand Percentage

Which index is a measure of inflation that evaluates the change in the weighted-average price of goods and services that the average consumer buys each month?

• Consumer Price Index (CPI)

• Producer Price Index (PPI)

• Inflation Index

• Market Index