Economics Study Set

What values shape the mixed and market economies of Canada and the United States?

• Individual freedom and government intervention

• Complete government control

• No government involvement

• Only traditional values

Economic decisions about scarcity, supply and demand, and competition affect individuals and groups by:

• Determining prices and access to resources

• Eliminating all economic problems

• Guaranteeing equal wealth for everyone

• Removing the need for choices

What else might influence decisions about the price of products?

• Consumer demand

• Weather conditions

• Product color

• Store location

Decisions about what products to manufacture are made based on which of the following factors?

• Consumer demand and available resources

• Random selection by manufacturers

• Government mandates only

• Tradition and customs only

Economic decision making affects the jobs available to you and your family by:

• Increasing the number of job opportunities in your area.

• Decreasing the need for any jobs.

• Having no impact on job availability.

• Only affecting jobs in other countries.

Why might Canada’s government own a company like the Canadian Museum of Civilization?

• To preserve and promote national heritage

• To increase private profits

• To compete with other countries' museums

• To reduce government spending

In economics, the idea that land (materials), labour and capital (money) limit the supply of what people want and need is called _________.

• scarcity

• inflation

• opportunity cost

• demand

What could be done about a situation where the demand for a product is so great that the store cannot supply enough copies to meet the demand?

• Increase the supply of the product

• Reduce the price of the product

• Limit the number of customers

• Stop selling the product

How does economic decision making allocate the fresh berries available?

• By distributing them based on supply and demand

• By giving them to the first people who arrive

• By storing them for future use

• By discarding them if not enough people want them

How might Canada’s government get involved in situations where people’s wants and needs are not being met?

• By providing social programs and services

• By ignoring the issues

• By reducing government intervention

• By increasing taxes only