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Economics Review

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.

The value of what we give up when we choose something else is known as an _____________________

a)

Infrastructure

b)

Opportunity Cost

c)

Industrialization

d)

Market Economy

2.

An economic system that blends elements of others together is known as a _____________

a)

command economy

b)

market economy

c)

traditional economy

d)

mixed economy

3.

An economic system in which the government makes all economic decisions is known as a ___________________

a)

command economy

b)

market economy

c)

traditional economy

d)

mixed economy

4.

Economic system in which decisions are made by business owners and consumers through supply and demand is known as a _______________________

a)

command economy

b)

market economy

c)

mixed economy

d)

traditional economy

5.

True or False: In a market economy, individuals can own private property.

a)

True

b)

False

6.

True or False: In a market economy, people are paid evenly no matter their job.

a)

True

b)

False

7.

Wealthier countries that have a great deal of manufacturing and service industries and have high incomes are known as _______________.

a)

developed countries

b)

developing countries

c)

newly industrialized countries

d)

Wakanda

8.

Countries where most people work in agriculture, there are low incomes, and poverty is an issue are known as ____________

a)

developed countries

b)

newly industrialized countries

c)

developing countries

9.

An ________ is when a country sells, or sends away goods and services to another country.

a)

export

b)

import

c)

tariff

d)

free trade

10.

An ________ is when a country buys or brings in goods and services from another country.

a)

import

b)

export

c)

tariff

d)

interdependence

11.

I sell landscape rocks. I just ordered tons, but a new gardening show has got everyone decorating with gnomes instead. What am I going to do with all these rocks?

a)

Raise the price

b)

Lower the price

c)

Throw rocks at every gnome I see

12.

True or False: In a market economy, competition can help create better products and lower prices for the consumer.

a)

True

b)

False

13.

Someone who buys or uses goods and services.

a)

producer

b)

services

c)

consumer

14.

Lack of available resources.

a)

services

b)

scarcity

c)

goods

15.

People who produce goods and services.

a)

producer

b)

consumer

c)

market

16.
Which is an example of a want?
a)
water
b)
clothing
c)
iPad
d)
shelter
17.

What is an example of a need?

a)

TV

b)

video game

c)

bike

d)

food

18.

When there is a high demand for a good/service, then prices will go up.

a)

True

b)

False

19.

Poor; Living on less than $2 a day

a)
Wealthy
b)
Middle class
c)
Affluent
d)

Poverty

20.

The level at which a person, group, or nation lives as measured by the extent by which it meets its needs

a)
Quality of life
b)
Social welfare
c)
Standard of living
d)
Economic status
21.

Earned money

a)

Income

b)

Savings

c)
Money spent on entertainment
d)
Gifts received from friends
22.

A ban on trade with a certain country

a)
embargo
b)
quota
c)
tariff
d)
sanction
23.

A tax paid on an imported item

a)
import tax
b)
tariff
c)
excise duty
d)
sales tax
24.

Which of the following is NOT true about a command economy?

a)

Communism is a type of command economy.

b)

People have no choice when it comes to available goods.

c)

There is no incentive to work hard in a command economy.

d)

Most countries with a command economy are democracies.

25.

Which of the following is NOT true about world trade?

a)

World trade results in higher standards of living.

b)

World trade results in better quality goods.

c)

World trade results in higher prices.

d)

World trade allows countries to specialize and produce only goods they are relatively efficient at making.

e)

A system for exchanging different forms of currency is necessary for world trade.