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WorksheetsIntroduction to Economics
Total questions: 13
Worksheet time: 12mins
In the production possibilities diagram, efficient management of resources is shown by
movement from outside of the curve to a point on the curve
all the points on the curve
change in the slope of the curve
the points inside the curve
The main reason why we study economics is
man has limited resources
man has unlimited wants and needs
man has unlimited wants and needs but resources are limited
man has unpredictable behaviour regarding their way of using the resources
The production possibility curve illustrate the basic principle that
an economy can produce any amount of product due to the possibility of finding new resources
an economy is able to produce outside the production possibility curve even though there is full employment
if an economy decides to produce more of a good now, the economy will have to produce less of that particular good in future
if an economy uses resources efficiently, more of a good can be produced if less of another is produced
Given that resources are scarce
a ‘free lunch’ is possible only for a limited number of people
poor countries must make choices but rich countries with abundant resources do not have to make choices
opportunity costs are experienced whenever choices are made
some choices involve opportunity costs while others choices do
not
Which of the following are the assumptions of production possibility curve (PPC)
full employment of resources.
the advance level of technology
producing two types of goods or services
fixed factors of production
Tangible things is known as (a) .
“The great increase in labour cost has led to the use of machinery in the production of cake”. The statement above explains a basic economic problem of
What to produce.
How much to produce.
How to produce.
For whom to produce
Due to the financial constraint Fatah Amin need to decide either to buy only a book or a bag. This situation reflecting
financial problem
economic problem
economic concept
economic system
The creative ability of persons to combine and direct resources to produce new products is known as
economizing
entrepreneurship
labour
capital
Which of the following is a microeconomic statement
The Gross Domestic Product (GDP) in Malaysia expanded 3.30 percent in the third quarter of 2012
The unemployment rate in Malaysia has dropped from 3.1% to 2.9%.
The price of personal computers declined last year
The general price level (inflation) increased by 4 percent last year
Which of the following statement is true?
Scarcity means that shortages occur at the existing market price
Due to the scarcity, individuals need to make choices and face opportunity cost
Scarcity exists because resources are unlimited relative to wants
Scarcity can be eliminated through appropriate government intervention
Which of the following represents a point lying outside the production possibility curve?
Unemployment
High price
Increasing cost
Unattainable production in the combination of two goods
Which of the following decisions must be made by all economies?
How much to produce? When to produce? Who will produce? For whom to produce?
How much to produce? How much does it cost? When to produce? For whom to produce?
How much to produce? What to produce? How to produce? For whom to produce?
How much does it cost? Who will Produce? When to produce? For whom to produce
