Free Printable Basic Economic Concepts

Worksheets

Basic Economic Concepts

Total questions: 20

Worksheet time: 10mins

Name

Class

Date

Why does scarcity exist?

Wealthy private business owners keep all of the money for themselves.

Governments control all the resources in society.

There are unlimited needs and wants but limited resources from which to satisfy them.

There are limited needs and wants but unlimited resources to satisfy them.

What does scarcity force societies to have to do?

Make choices

Make money

Lose resources

Have winners and losers.

Food, water, shelter, and entertainment are all considered economic needs.

True

False

Which one of the following is considered an economic want?

Food & Water

Clothing

Shelter

Transportation

A good that lasts three years or more when used on a regular basis is called a

Capital Good

Consumable Good

Nondurable Good

Durable Good

Which of the following is considered a nondurable good?

John Deere Tractor

Lincoln Welding Torch

Blow dryer

toilet paper

Which of the following could be considered both a durable good and consumer good?

Automobile

condoms

dental floss

a loaf of bread

The cotton gin revolutionized the cotton industry by making the production of cotton a lot more.....

efficient

underutilized

inefficient

faster

When Eli Whitney created the cotton gin, he made improvements in which of the following factors of production?

Entrepreneurship

Capital Goods

Human Capital

Land

10.

What are the four factors of production?

Land, Labor, Consumer, Owner

Entreprenuer, Office, Materials, Labor

Human Capital, Labor, Entrepreneur, Land

Land, Labor, Capital, Entrepreneur

11.

The apparent contradiction between the high value of a nonessential item and the low value of an essential item was referred to in the book, Wealth of Nations by Adams Smith in 1776, as what?

The Contradiction of Value

The Invisible Hand of Markets

Paradox of value

Something of value

12.

The capacity to be useful and provide satisfaction is called what?

Usefulness

Pleasure

Utility

Scarcity

13.

Which of the following is NOT a question that all societies must answer?

What to produce

How to produce

Why to produce

For whom to produce

14.

A good entrepreneur should avoid risk at all cost! After all nobody wants to lose money right?

True

False

15.

Entrepreneurs are risk-takers in search of ________ but also face ________ when the business fails.

Revenue; costs

Customers; the boss

markets; bankruptcy

profits; losses

16.

When a society makes a choice there will always be at least one loser, even if it is only temporary.

True

False

17.

If Jose decided to study for his test which of the following would NOT be the opportunity cost be of that decision?

playing Fortnite Ranking

Getting a good grade on the test

Spending quality time with his girlfriend.

Working out at the gym.

18.

The sum of people's skills, abilities, health, and motivation are called

Human capital

labor

capital good

financial capital

19.

Which of the following is not included in human capital?

a workers skills

a workers abilities

a workers motivation

a workers background

20.

Economics is the study of how people try to satisfy seemingly unlimited and often competing needs and wants through the careful use of relatively scarce resources.

True

False

100 %

Basic Economic Concepts

Total questions: 20

Worksheet time: 10mins

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