Font size
WorksheetsEcon 2019 FSR
Total questions: 55
Worksheet time: 28mins
How does competition impact production?
lower wages for workers
it results in the best products at the lowest price
variety of services for the middle class
improved safety conditions for workers
Jessica does not like to make many choices and she prefers for others to chose for her? Which system would be best for her?
Free Enterprise System
Economically Planned
Socialist System
Free Market System
Which of the following statement does NOT exemplify an example of Opportunity Cost?
getting a manicure instead of a hair cut
paying rent instead of going to a concert
taking a vacation of fixing a leaking roof
buying a cake mix at the store for dinner tonight
Easy to Manage
Complete Ownership
These are all characteristics of what type of Business?
Which is NOT one of the Economic Questions?
For Whom to produce?
What to produce?
Why to produce?
How to produce?
Another name for Free Market is
Command Economy
Socialism
Capitalist Economy
Centrally Planned System
In this PPC, point E symbolizes
expansion.
recession.
full employment.
None of the above.
If your economy was in a recession, your production would be at point
A
B
C
D
E
Supply is...
production.
manufacturing.
making stuff.
All of the above.
Demand is...
able and willing to buy something.
shopping.
buying stuff.
All of the above.
Economic growth is...
producing more this year than last year.
making more money this year than last year.
producing with less opportunity cost.
All of the above.
Absolute advantage is best described as
producing most while using least amount of resources.
producing most while sacrificing least opportunity cost.
Neither of the above.
Comparative advantage is a country that has
lower opportunity cost while producing.
lower resource cost while producing.
more production than another country.
All of the above.
Equilibrium point is where
supply and demand meet.
suppliers make the most profit.
shoppers can not find what they want.
None of the above.
Benefits of international trade include
economic growth.
higher technological advancement.
increased specialization.
cheaper imports.
improved government relationships among trading countries.
Protectionism is increased
trade deficit.
money put-options.
barriers to trade.
Imports are goods
sold domestically.
sold to other countries.
All of the above.
better for everybody.
that are purchased from other countries.
A tax on imports is a
tariff.
good thing.
bad thing.
The Law of Demand states that if Price increases,
demand decreases.
demand stays the same.
demand increases.
The Law of Supply states that, if Price increases
supply increases.
supply decreases.
supply stays the same.
A trade surplus is when a country
exports more than it imports.
imports more than it exports.
exports the same as it imports.
None of the above.
A trade deficit is when a country
imports more than it exports.
Imports less than it exports.
Imports as much as it exports.
All of the above.
Inflation is best defined as
the rate of price increases.
the rate of price stabilization.
the rate of price decreasing.
All of the above.
GDP per capita means
GDP per person.
GDP for the capital of a country.
Production assimilation.
All of the above.
Normal inflation in the U.S. is
between 0 - 1 %.
around 10 %.
never obtainable.
wishy washy.
Zoning laws are created to
protect home owner investments.
divide a city's residential and manufacturing areas.
organize urban areas.
All of the above.
Unemployment is described as
people without a job but looking for one.
tools not being used.
machines not being used.
All of the above.
The four phases of a business cycle includes
expansion
contraction
inflation
peak
trough
Economic growth can happen by
educating your populace.
advancing technology.
developing faster production processes.
All of the above.
An economic recession is best described as
two calendar quarters with decreasing GDP.
4 months of increasing unemployment.
1 year of increased tax revenues.
None of the above.
Which are the main functions of the FED?
Supply money
Control interest rates
Monitor banks
All of the above
One characteristic of the Federal Reserve is that it is...
available for consumer lending.
allowed satellite locations.
a system of decentralized banks.
All of the above.
One characteristic of the FED is
it has 12 districts nationwide.
it has 9 districts nationwide.
it is centralized and has no districts.
None of the above.
How does the Federal Reserve Chair gets his or her job?
Appointed by the President.
Elections are held.
He or she is the senior-most member of the Board.
None of the above.
Which of the following is (are) NOT a Function(s) of Money?
Medium of exchange
Standard of measure
Store of value
Barter commodity
An example of commodity money is
Gold coin.
U.S. Dollar.
Fish for trade.
All of the above.
Money that is backed up by the government's "word" is called...
currency mandate.
fiat money.
credit card.
The barter economic system is inefficient because
there is no money involved.
one is limited to the supply and demand of particular stuff.
This is a fake system.
This statement is false, barter systems rock!
Why is using a debit card limiting?
It only has as much money as your bank account.
Debit card purchases charge a higher interest rate.
Most people are declined from having a debit card.
The FED will use EASY monetary policy during
a rainy day.
a recession.
an expansionary phase.
None of the above.
Raising the Reserve Requirement of banks will lead to
less available loans.
more available loans.
cheaper loan interest rates.
a recession.
One of the roles of our U.S. government is to
tell us how to shop.
regulate businesses.
control the factors of production.
All of the above.
The 16th Amendment to the Constitution allows for
economic equality.
economic stability.
income taxes.
funding of the military.
All of the above.
The U.S. government collects
sales taxes.
income taxes.
None of the above.
Social Security is an item of both revenue and expenditure for the federal government.
True
False
What is one advantage to placing savings in a high-risk investment as oppose to putting savings in a low-risk investment?
The money is more secure in a high-risk investment.
The potential rate of return on investment is higher.
The tax rate on high-risk investments is lower.
The amount of money needed to invest is lower.
One potential risk from investing in the stock market is the loss of —
purchasing power
earned interest income
portfolio diversification
investor tolerance
Which of the following retirement investment options is usually offered as a benefit of employment?
College tuition reimbursement
Mutual Funds
401(k)
Bonds
Which investment is considered the most secure in a retirement plan?
Public bond
401(k)
Individual retirement account
Mutual fund
