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WorksheetsCAB Chapter 2
Total questions: 14
Worksheet time: 7mins
What is scarcity?
unlimited wants and needs
a shortage of resources
a lack of goods and services
limited expenses
Which is NOT a factor of production?
natural resources
labor
capital
the marketplace
Which statement about natural resources is true?
Water is renewable because it can be reproduced
Lumber is not renewable because it takes a long time to grow new trees
Coal is renewable because there is so much of it still in the ground
Agricultural products are renewable because new crops can be grown each season
Which statement about natural resources is NOT true?
Natural resources can be processed to make goods
The amount of natural resources available to a society has little effect on its economy
Synthetic materials such as nylon can be made from natural resources
Countries that have scarce natural resources must get them from somewhere else
Which means the same as human resources?
capital resources
service providers
labor resources
unskilled workers
Which is an example of a capital resource?
a machine used to make molded plastic toys
a customer service representative
money borrowed from a bank
the president of a company
Which is most likely to profit from society's changing wants and needs?
a business with existing capital resources
a producer of goods
an entrepreneur
a business with substantial labor resources
Which refers to the study of how people satisfy their needs and wants by making choices?
entrepreneurship
economics
equilibrium
opportunity
What is opportunity cost?
the income people receive by taking risks
giving up the chance to use a resource for one thing instead of another
the methods and labor used to produce a good
the income people have to purchase goods and services
What are two basic types of economic systems?
supply and demand
competition and profit
private enterprise and free enterprise
market economy and command economy
Which is a characteristic of capitalism?
Resources are privately owned
Resources are shared equally
There is an even distribution of income
Prices are determined by government planners
Which is true about people working in a market economy who have labor skills that are in demand?
Their earnings are the same as other workers their age
Their incomes tend to be lower than others whose skills are not in demand
Their incomes tend to be higher than others whose skills are not in demand
Their earnings are not related to demand
Which is most likely to happen when the price for a good or service is high?
demand falls
profits rise
supply increases
competition decreases
Which is a characteristic of socialism?
Individuals own all major resources
Major resources are government owned
There is little choice for consumers
There is no incentive to create better products
