Economics Quiz

What is the study of economics?

• How we try to satisfy our needs and wants by making choices.

• Imports and Exports of Foreign Countries

• How the environment relates to industry

• None of the above

What are the three major questions to think about with limited resources?

• What to grow

  How to grow

  For whom to grow

• What to Produce

  How to Produce

  For Whom to Produce

• Gold

  Plants

  Animals

• Both A and C

What are the four factors of production?

• Commercial and Non-Commercial

• Producers and Processors

• Capital

  Industry

  Education

• Land

  Labor

  Capital

  Entrepreneurship

What is scarcity?

• Limited resources (causing us to make choices)

• Excessive Resources

• Unlimited resources

• All of the above

What is a good?

• Taxes, Tariffs, and Titles

• Physical object to purchase (jeans, backpack, car)

• Work force

• Foreign industry

What is a service?

• Actions / activities performed for a fee (lawn mowing, concert)

• Service at a cost

• Demands of labor

• Both A and B

What does TISNTAFL stand for?

• There is nothing so touching as a free lunch

• The industry noted stand to accept a fortune later

• There is no such thing as a free lunch

• None of the above

What is the definition of capital?

• Actions / activities performed for a fee (lawn mowing, concert)

• Resources made to produce and distribute goods and services (cell phones, computers, airports, deep fryer, grill, roads)

• Limited resources (causing us to make choices)

• Entrepreneurship

What is an opportunity cost?

• Value of the production

• Actions / activities performed for a fee (lawn mowing, concert)

• Value of the opportunity given up (movie instead of bowling)

• Limited resources (causing us to make choices)

What is a marginal benefit?

• Additional value of having one more unit

• Negative impact on gain

• The process of making goods / services into separate tasks

• Quality control of products produced at higher rates