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Introduction to Economics part 2

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Economic growth is measured by...

a)

Gross International Product

b)

Gross Domestic Product

c)

Gross International Export

d)

Gross Domestic Export

2.

Economic growth is featured by ...

a)

Producing more goods & services in this month compared last month

b)

Producing more goods & services this quarter compared to last quarter

c)

Producing more goods & services within last 6 months compared to previous 6 months

d)

Producing more goods & services this year compared to last year

3.

According to this image, which country has the largest GDP in the world?

a)

America

b)

China

c)

Japan

d)

Australia

4.

According to this image, which country has the third largest GDP in the world?

a)

America

b)

China

c)

Japan

d)

Australia

5.

The GDP per capita for country A is ...

a)

1000

b)

10,000

c)

1,000,000

d)

10,000,000

6.

The GDP per capita for country A is calculated by ...

a)

Taking GDP divided by number of states

b)

Taking total population divided by GDP

c)

Taking GDP divided by total population

d)

Taking GDP divided by number of cities

7.

What is recession?

a)

A decline in economic growth for six months or longer

b)

A decline in economic growth for one year or longer

c)

A decline in living standards marked by increased unemployment and reduced expenditure on goods & services

d)

A decline in economic growth for two years or longer

8.

What is depression?

a)

A decline in economic growth for six months or longer

b)

A decline in economic growth for one year or longer

c)

A deep and prolonged decline in living standards marked by continual rise in income and unemployment, and continual fall in sales and production

d)

A decline in economic growth for two years or longer

9.

What is ethics?

a)

Applying moral standards to business behaviour

b)

Applying illegal standards to business behaviour

c)

Applying dishonourable standards to business behaviour

d)

Applying fradulent standards to business behaviour

10.

The demand for cosmetics, soaps and fragrances increased mean companies are willing to subject animals to cruelty. What is the ethical issue?

a)

Unsustainable cacao beans

b)

Animal testing

c)

Wage poverty (minimum vs living wage)

d)

Unsustainable palm oil

11.

Palm oil is used in chocolate product but unmaintable palm harvesting kill orangutans and destroy their homes. What is the thical issue?

a)

Unsustainable cacao beans

b)

Animal testing

c)

Wage poverty (minimum vs living wage)

d)

Unsustainable palm oil

12.

Current cacao farming practices include growing cacao beans intensively without letting the soil recover, clearing more rainforest areas and destroy local habitats, and using pesticides that run off into local water source. What is the ethical issue?

a)

Unsustainable cacao beans

b)

Animal testing

c)

Wage poverty (minimum vs living wage)

d)

Unsustainable palm oil

13.

Kmart, BigW and Target can sell cheap products because they pay cheap wages to workers. This is not against the law but it is still not enough for workers to access good food, drinks and healthcare. What is the ethical issue?

a)

Unsustainable cacao beans

b)

Animal testing

c)

Wage poverty (minimum vs living wage)

d)

Unsustainable palm oil

14.

How to be ethical consumers?

a)

Buy products from companies that pay fair wage and have fair trade

b)

Buy cruelty free products that do not test on animals

c)

Avoid products listing palm oil as ingredient and buy products that are RSPO-certified (Roundtable on Sustainable Palm Oil)

d)

Buy chocolate that have fair-trade and Rainforest Alliance labels. Big companies such as Mars, Ferrero, Hershey have committed to using 100% certified cacao

15.

How to be ethical business owners?

a)

Make as much money as possible

b)

Pay workers fairly (a living wage)

c)

Source products that are ecofriendly and kind to animals

d)

Building trust with customers by lying about the fair-trade labels

16.

What is primary industry?

a)

Businesses that associate directly wth obtaining or producing natural raw materials

b)

Businesses that turn raw materials into products for consumers to use

c)

Examples of primary industry include farming, fishing

d)

Examples of primary industry include meat-packing, car building

17.

How does drought affect price of fruit and vegetables?

a)

There is no noticeable price changes

b)

Drought makes it difficult to grow produce, thus affecting supply. When supply is more than demand, price increases

c)

Drought makes it difficult to grow produce, thus affecting supply. When demand is more than supply, price increases

d)

Price only increases in drought-stricken areas, not main cities

18.

How does drought affect meat and diary?

a)

Less rain means less grass, so farmers have to feed cattle with grains, resulting in higher pricing

b)

Less rain means less grass, so farmers have to feed cattle with grains, resulting in lower pricing

c)

Price only increases in drought-stricken areas, not main cities

d)

Meat and diary can be imported from other places to maintain same price

19.

How does drought affect the economy?

a)

Farmers begin to limit non-essential expenditures (desires), thus reducing local business profuts, resulting in increased unemployment rate

b)

The best produce is exported overseas, thus increasing local prices due to lower supply

c)

Higher costs (feeding animals, vet bills, water, etc) & lower incomes = significant debt and possible foreclosure

d)

Only the economy of drought-stricken local community is affected, not the whole country

20.

How to help the farmers who are suffering from drought?

a)

Farmers do not need help

b)

Other citizens can donate clothes, hay and money to farmers

c)

Local consumers can choose to support farmers by buying slightly inflated produce, instead of imported/overseas produce

d)

Government can provide compensation or relief for farmers who lose their income caused by drought