Economic Concepts and Their Impacts

What is the main point of the economy?

• The economy is how we make, buy, and sell things.

• The economy is only about making things.

• The economy is only about buying things.

• The economy is only about selling things.

How is the economy explained simply in the document?

• It's a small system where only a few people are connected.

• It's a big system where everyone is connected through what they make and what they buy.

• It's a system where only companies are connected.

• It's a system where only farmers are connected.

What example is given to explain the economy?

• How a factory produces cars.

• How a school teaches students.

• How your family buys groceries, and how the store gets those groceries from farmers and companies.

• How a bank manages money.

What is the main point about the global economy mentioned in the text?

• Countries trade only within their own borders.

• Countries all over the world trade with each other.

• Countries do not trade with each other.

• Only a few countries participate in global trade.

According to the text, what might happen to things our country makes?

• They are only used within the country.

• They might go to other countries.

• They are never traded.

• They are only sold online.

Which example is given to explain the global economy?

• A car made in Germany.

• A book written in France.

• A toy made in China and food sold in other countries.

• A computer designed in Japan.

What does inflation mean?

• The price of things decreases over time.

• The price of things stays the same over time.

• The price of things increases over time.

• The price of things fluctuates randomly.

What is a simple explanation of inflation?

• You need less money to buy the same thing.

• You need more money to buy the same thing.

• You need the same amount of money to buy the same thing.

• You can buy more things with the same amount of money.

What is an example of inflation given in the text?

• A candy bar used to cost $1.00, now it costs $0.50.

• A candy bar used to cost $0.50, now it costs $1.00.

• A candy bar used to cost $1.50, now it costs $1.00.

• A candy bar used to cost $0.75, now it costs $0.50.

What does unemployment mean?

• People who want to work can't find jobs.

• People who don't want to work are forced to work.

• Everyone has a job.

• Companies are hiring more workers.