Monday

What is the central problem of economics?

• Inflation

• Unemployment

• Profit

• Scarcity

Which of the following is a trade-off?

• Going to both the concert and practice

• Sleeping through class

• Buying everything you want

• Giving up sleep to study

What does opportunity cost mean?

• Paying with a credit card

• A free decision

• Buying what’s cheapest

• The next best thing you gave up

In a market economy, who makes decisions?

• The military

• The king

• The government

• Individuals and businesses

What is a command economy?

• People choose their jobs freely

• Supply and demand set prices

• Goods are traded based on traditions

• Government controls production

A traditional economy is based on:

• Profits and private property

• Government regulation

• Stock investments

• Customs and culture

What type of economy does the U.S. have?

• Pure market economy

• Traditional economy

• Command economy

• Mixed economy

What are the three basic economic questions about?

• How to earn money

• What stocks to buy

• Managing credit cards

• Production and distribution

Who answers the economic questions in a command economy?

• Business owners

• Consumers

• Families

• The government

A society with mostly farming and bartering likely has:

• A command economy

• A mixed economy

• A corporate economy

• A traditional economy