Introduction to Economics

What is defined as the cost of choosing to use resources for one purpose measured by the sacrifice of the next best alternative for using those resources?

• Opportunity Cost

• Scarcity

• Economic Good

• Economic Goals

What economic system is mainly characterized by private individuals owning and operating the majority of businesses that produce goods and services?

• Capitalism

• Communism

• Socialism

• Mixed economies

What is a society in which the government owns all the nation’s resources?

• Capitalism

• Communism

• Socialism

• Mixed economies

Under which economic system does the government own and operate the basic industries like telecommunications, water service, and transport?

• Capitalism

• Communism

• Socialism

• Mixed economies

What is a mixed economy?

• An economy with only private enterprises

• An economy with only state enterprises

• An economy with elements from more than one economic system

• An economy that does not allow private ownership

What are the four main types of economic resources?

• Land, Labor, Capital, Entrepreneurial ability

• Land, Labor, Money, Time

• Labor, Capital, Technology, Resources

• Land, Labor, Capital, Goods

What are the economic goals?

• Economic growth, Full employment, Economic efficiency, Price level stability

• Economic growth, Inflation, Unemployment, Trade deficit

• Economic growth, Economic freedom, Economic security, Economic goals

• Economic growth, Economic efficiency, Economic freedom, Economic inequality

What is the study of the small unit of economy like individual as an economic agent?

• Macroeconomics

• Microeconomics

• Econometrics

• Economic Theory

What is the study of the economy as a whole like behavior of the aggregate of economic activity?

• Macroeconomics

• Microeconomics

• Econometrics

• Economic Theory

What is the term for the economic principle that describes the relationship between the quantity of a good that producers are willing to sell and the price of that good?

• Market Price

• Equilibrium

• Demand

• Supply