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2026 Economics I Test Review

Total questions: 39

Worksheet time: 28mins

Name
Class
Date
1.

Tools and machinery are what type of resources?

a)

human

b)

capital

c)

natural

d)

entreprenurship

2.

The interaction of supply and demand always affect....

a)

investment

b)

price

c)

income

3.

In what type of business is an owners liability limited to the amount they invested in the business?

a)

proprietorship

b)

partnership

c)

corporation

4.

What are the factors of production called?

a)

consumers

b)

supply

c)

resources

5.

Canaway's Cones sold $3,000 in ice cream and paid $1,000 in supplies, employees and taxes. What is the remaining $2,000 called?

a)

profit

b)

economics

c)

price

d)

income

6.

When the demand for a product is high, the price will be...

a)

high

b)

low

c)

unchanged

7.

The type of economy a country has depends on the amount of ________.

a)

consumer choice

b)

government involvement

c)

business profit

8.

The inability to satisfy all wants and needs is known as..

a)

scarcity

b)

productivity

c)

surplus

9.

Jonathan only had $20 but wanted two items. He chose the ear buds instead of the new shorts. What was his opportunity cost?

a)

$20

b)

shoes

c)

ear buds

d)

shorts

10.

On the day of the grand opening of Kellum's Electronics store, fifty people are waiting in line to buy the newest television. What is the demand?

a)

the tv

b)

Kellum's

c)

fifty people

11.

In which economy does the government control SOME industries for the public?

a)

traditional

b)

free market

c)

command

d)

mixed

12.

In which type of business does the stockholders share profits, acts as a legal entity (person) and have limited liability?

a)

sole proprietorship

b)

partnership

c)

corporation

13.

Which economy has lack of consumer choice?

a)

free market

b)

mixed

c)

command

14.

Which type of economy does individuals and businesses share in economic decision making?

a)

mixed

b)

traditional

c)

command

d)

market

15.

What is NOT true about a mixed economy?

a)

competition

b)

consumer choice

c)

profit motive

d)

centrally planned

16.

What business is like a corporation?

a)

McDonald's

b)

Paul's Hot Dog Stand

c)

David and Daniels Law Firm

17.

What is produced, How is production organized, How are good distributed, and What is the most effectiveway to distribute the factors of production?

These are the basic ...

a)

Factors of Production used in all countries

b)

Scarcity Questions entrepreneurs must answer

c)

Economic Questions all countries must ask

18.

The United States economy is a ____ economy.

a)

free market

b)

command

c)

traditional

d)

mixed

19.

What type of economy is centrally planned?

a)

free market

b)

traditional

c)

command

d)

mixed

20.

A proprietorship has how many owners?

a)

one

b)

two

c)

three

d)

none

21.

One factor of production that takes a risk to start his or her own business is called ...

a)

natural resource

b)

capital resource

c)

entrepreneur

d)

free market

22.

Who decides " how to produce" and "what to produce" and "what prices will be" in a command economy?​ ​ (a)  

Choose from the below words
Government decide
Traditional society decide
Consumers decides
Children decides
23.

In a market economy, who primarily decides what goods and services should be produced?

a)

The government

b)

Consumers

c)

Large corporations

d)

International trade partners

24.

What best describes a mixed economy?

a)

An economy that incorporates elements of both market and command economies.

b)

An economy that relies solely on government control.

c)

An economy that is entirely based on free market principles.

d)

An economy that has no regulation or oversight.

25.

What is the role of government in a free market economy?

a)

shared decision making with consumers and entrepreneurs

b)

complete control over all economic decision

c)

little to none

26.

Do all choices have opportunity costs?

a)

YES

b)

No

27.

Combining all of your resources to make a product or provide a service is known as..

a)

scarcity

b)

consumption

c)

production

d)

opportunity cost

28.

Where supply and demand meet/intersect to give a fair price is called....

a)

opportunity cost

b)

equilibrium point

c)

scarcity

d)

point of inflation

29.

When prices change, buyers are willing to change the __________ they are willing to buy.

a)

quanitity

b)

price

c)

quality of products

d)

type of coupons

30.

The amount of agood or service that PRODUCERS are willing and able to sell at a certain price is the LAW OF ....

a)

demand

b)

supply

31.

The amount of a good or service that CONSUMERS are willing and able to buy at a certain price is called the LAW OF ...

a)

DEMAND

b)

SUPPLY

32.

The key factor in determining the type of economy a coutry has is the amount of ____________ influence on the decision making.

a)

PRODUCER

b)

CONSUMER

c)

GOVERNMENT

33.

How many different types of economies are there?

a)

1

b)

2

c)

3

d)

4

34.

Turkeys for Thanksgiving are raised on poultry farms. If the Bird Flu hits and kills most of the turkeys, ​ (a)   and the ​ (b)   .

Choose from the below words
supply goes down
price goes up
supply goes up
demand goes down
demand goes up
price goes down
35.

We find a new gas reservoir and decide to drill it. Because of this, the ​ (a)   and the ​ (b)   .

Choose from the below words
supply goes down
price goes up
supply goes up
demand goes down
demand goes up
price goes down
36.

Label the Supply line, the Demand line and equilibrium.

37.

Buying and using goods and services is known as ..

a)

Supply

b)

Entreprenurship

c)

Production

d)

Consumption

38.

​ ​ (a)   is the amount of a good being produced.

Choose from the below words
Supply
Demand
Equilibrium
39.

Prices will ​ (a)   if demand is high.

Choose from the below words
increase
decrease
stay the same