Exploring 4th Grade Economics Concepts

What does a strong economy indicate about a country?

• It has a high population.

• It has a strong military.

• It has a large land area.

• It has a lot of money and produces many goods and services.

Which of the following is an example of a service?

• A stapler

• A mechanic

• A kite

• A hamburger

Who are considered consumers in the economy?

• Only factory workers

• Only hairdressers

• Only farmers

• Everyone who uses goods and services

What are natural resources?

• Tools and machines

• Workers

• Money

• Things that come from nature and are used by humans

In the example of sugar production, what is considered a capital resource?

• Workers in the refinery

• Sugarcane

• The truck driver

• The machines and buildings used in production

What is the goal of a business in terms of profit?

• To break even

• To spend all the money

• To make less money than spent

• To make more money than spent

What is competition in the context of business?

• When businesses try to win over customers

• When businesses avoid each other

• When businesses merge together

• When businesses share profits

How do banks help business owners?

• By lending money to start their business

• By providing free goods

• By selling their products

• By hiring workers for them

Why is it important for consumers to have an education and skills?

• To avoid paying taxes

• To get a good job and make money

• To travel the world

• To start their own bank

What happens to prices when there is a high supply but low demand?

• Prices go up

• Prices stay the same

• Prices go down

• Prices become unpredictable