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WorksheetsEconomics 1st semester
Total questions: 41
Worksheet time: 41mins
Name
Class
Date
1.
Your friend and you decide to open a snow cone stand. The people you hire to run the stand are examples of which factor of production?
a)
Capital
b)
Entrepreneurship
c)
Labor
d)
Land
2.
Your friend and you decide to open a snow cone stand. The stand and the snow cone machine are examples of which factor of production?
a)
Land
b)
Capital
c)
Entrepreneurship
d)
Labor
3.
What is an entrepreneur?
a)
A person who starts a new business.
b)
A leader of a country.
c)
A worker in a factory.
d)
A student in college.
4.
Natural resources come from
a)
nature and are limited
b)
nature and are unlimited
c)
a factory and we can make more
5.
An entrepreneur is
a)
someone that makes enter signs in France
b)
Someone that takes a risk and starts a business
c)
Someone that takes a risk and buys a new car
6.
Capital goods refers to
a)
all the materials used to produce goods and services
b)
training and skills of employees
c)
the furniture in the capital building
d)
a new flavor of bubble gum
7.
A franchise is ?
a)
Owned by two or more people
b)
A form of business in which one owner uses the model, methods and trademarks of another
c)
Owned by many people- stockholders, but treated as one person ( can own property, pay taxes, make contracts)
8.
Which types of business has stockholders?
a)
Sole Proprietorship
b)
Partnership
c)
Free Enterprise
d)
Corporation
9.
How many people work together in a Sole proprietorship?
a)
One
b)
Two or more
c)
Owned by many but treated as one
10.
This type of business is owned by two or more people.
a)
Sole Proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
11.
McDonald's and Burger King are examples of....
a)
Sole Proprietorships
b)
Partnerships
c)
Corporations
d)
Franchises
12.
Nike, Google and Apple are examples of.....
a)
Sole Proprietorships
b)
Partnerships
c)
Corporations
d)
Franchises
13.
Read the following two statements:
***People want more things than they have money to buy.
***The goods and services a society can produce at any one time are limited.
What problem results from these two conditions?
***People want more things than they have money to buy.
***The goods and services a society can produce at any one time are limited.
What problem results from these two conditions?
a)
Imbalance of Power
b)
Scarcity
c)
Excessive Wealth
d)
Opportunity Cost
14.
Which describes a society with a traditional economy?
a)
Is is based on doing things the way they were done in the past.
b)
It is located in a large urban area.
c)
It is organized in a large urban area.
d)
It is heavily dependent on industry.
15.
What is the role of the government in a command economy?
a)
It has little to say in which goods are produced.
b)
It does not influence which services are offered.
c)
It guarantees that consumers will earn a high income.
d)
It makes the most important economic decisions.
16.
Economics is the study of how
a)
gov't allocates scare resources to satisfy people's unlimited wants.
b)
gov't supplies money to businesses to produce goods & services.
c)
people use their scarce resources to satisfy their unlimited wants.
d)
businesses supply unlimited goods & services with limited resources.
17.
Scarcity arises because all societies have
a)
limited productive resources to satisfy unlimited wants
b)
unlimited productive resources to satisfy limited wants
c)
limited needs and unlimited wants
d)
unlimited needs and limited wants
18.
The opportunity cost is the value of the _______ that had to be given up f the alternative that was chosen.
a)
all the items
b)
the next best choice
c)
the least important alternative
d)
everything except the item that was chosen.
19.
Identify the factor of production.
a)
land
b)
labor
c)
capital
d)
entrepreneurship
20.
What is opportunity cost?
a)
your choice
b)
what I give up to make a choice
c)
benefits
d)
luxuries
21.
When you get your hair cut.
a)
good
b)
service
22.
You buy a bag of apples from the grocery store.
a)
good
b)
service
23.
You go to visit the eye doctor.
a)
good
b)
service
24.
You buy a new video game for your birthday.
a)
good
b)
service
25.
Someone who buys goods and services
a)
Slogan
b)
Product
c)
Logo
d)
Consumer
26.
Person, company, or country that makes something to sell
a)
Consumer
b)
Producer
c)
Logo
d)
Slogan
27.
Which type of economy lets the private businesses and buyers/sellers make all of the decisions?
a)
Market
b)
Mixed
c)
Command
d)
Traditional
28.
Which type of economy lets the government & private businesses work together in order to make decisions?
a)
Market
b)
Mixed
c)
Command
d)
Traditional
29.
When a country or individual produces a single product that they are good at producing.
a)
diversification
b)
specialization
30.
Any reward or benefit that motivates people to do something.
a)
incentive
b)
money
c)
bonus
d)
financial gain
31.
If the demand of a product drops, you would expect the price of the product to...
a)
rise
b)
stay the same
c)
go up
d)
decrease
32.
Which of the situations best represents equilibrium?
a)
the price of milk does not change much from week to week
b)
milk production makes good profit for manufacturers
c)
everyone who wants milk can afford it
d)
the milk made equals the milk sold
33.
A shortage can also be referred to as
a)
a surplus
b)
an equilibrium
c)
more supply than demand from customers
d)
more demand than supplies avaliable
34.
Is it Equilibrium, Shortage, or Surplus?
85 bushels demanded and 73 bushels supplied.
85 bushels demanded and 73 bushels supplied.
a)
Equilibrium
b)
Shortage
c)
Surplus
35.
What is supply?
a)
the amount of goods that consumers are willing and able to buy
b)
the amount of goods that producers are willing and able to sell
36.
What is the law of supply?
a)
As price increases, the amount producers are willing and able to produce will also increase.
b)
As price increases, the amount that consumers are willing and able to pay will decrease.
37.
What is the law of demand?
a)
As price increases, the amount that consumers are willing and able to pay will decrease.
b)
As price increases, the amount producers are willing and able to produce will also increase.
38.
What is demand?
a)
the amount of goods that consumers are willing and able to buy
b)
the amount of goods that producers are willing and able to sell
39.
What is surplus?
a)
supply exceeds supply
b)
supply and demand are equal
c)
supply exceeds demand
d)
demand exceeds supply
40.
Which of the following is correct?
a)
What to produce, why to produce, for whom to produce
b)
What to produce, how to produce, for who to produce
c)
How to produce, for whom to produce, why to produce
d)
For whom to produce, what to produce, how to produce
41.
What can the three basic questions of economics determine?
a)
What kind of government a country has.
b)
What kind of economic system a country has.
c)
Whether or not most people live in poverty.
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