Introduction to Economics

What is scarcity? 

• Giving something up to have something else

• Extra cost of production

• The condition that results form having unlimited wants with limited resources

• Rise in general level of prices and workers need more money

Which of the following IS a capital resource?

• Wood

• Computer

• Labor

• Knowledge

On this PPC, which point is efficient? 

• A

• C

• D

• None

On the PPC, which point is inefficient?

• A

• B

• C

• D

The study of the economic behavior of individual persons, families, and businesses is known as​ (a)   .

• microeconomics

• macroeconomics

• production possibilities curves

• Ubernomics

The formula C+I+G+X represents ​ (a)   .

• Gross Domestic Product

• Nominal Imports

• Nominal Exports

• Gross International Product

If you go from point A to point B on the curve, what is your opportunity cost?

• 250 units of Good R

• 650 units of Good R

• 250 units of Good T

• 500 units of Good T

If you decide to relax (leisure) for 7 hours instead of 5, what is your opportunity cost?

• 2 hours of study

• 2 hours of leisure

• 5 hours of leisure

• 5 hours of study

What does the law of demand state?

• As the price increases, demand increases.

• As the price decreases, demand remains unchanged.

• As the price increases, demand decreases.

• As the price decreases, supply increases.

On the PPC, which point is unobtainable?

• A

• B

• C

• D