Chapter 2 Economics

What is another name for the Federal Reserve?

• FED

• FR

• TFR

• None of these

What is a financial and social system that represents the flow of resources through a society, from production to distribution to consumption?

• Economy

• GDP

• GNP

• Economics

Private Enterprise and Free Market System are other names for

• Socialism

• Capitalism

• Communism

• Mixed

How many businesses are in an industry that is a monopoly?

• One

• Several

• Many

• None of the answers

Refers to actions that shape the economy by influencing interest rates and the supply of money.

• Fiscal policy

• Commercial banks

• Monetary policy

• Federal debt

What are government efforts to influence the economy through taxation and spending decisions

• Fiscal Policy

• Monetary Policy

• Budget Deficit Policy

• Budget Surplus Policy

The percentage of people in the labor force over age 16 who do not have jobs and are actively seeking work.

• Recruitment rate

• Turnover rate

• Unemployment rate

• Inflation rate

Who is the Father of Capitalism and brought its philosophy to prominence?

• Adam Smith

• Joseph Smith

• John Smith

• Abraham Lincoln

The price at which the quantity demanded is the same as the quantity supplied.

• Demand Curve Price

• Supply Curve Price

• Equilibrium Price

• Capitalism Price

What are the two core categories of economics?

• Microeconomics and Marcoeconomics

• GDP and GNP

• Microeconomics and Economics

• Macroeconomics and Economics