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Economics quiz chapter 1 and 2 JA Economics

Total questions: 62

Worksheet time: 58mins

Name
Class
Date
1.

What is economics?

(a)  

2.

What are the factors of production?

(a)  

3.

Why are the factors of production important?

(a)  

4.

What is entrepreneurship?

(a)  

5.

What is scarcity?

(a)  

6.

Define opportunity cost.

(a)  

7.

What is the economic way of thinking?

(a)  

8.

What does "thinking at the margin" mean?

(a)  

9.

Define Free Enterprise.

(a)  

10.

What is private property?

(a)  

11.

What is public property?

(a)  

12.

Define Specialization.

(a)  

13.

What is the price system?

(a)  

14.

What is money?

(a)  

15.

What are the 3 main properties of money? and why are they so important in our free enterprise economy?

(a)  

16.

Describe what each property of money is.

(a)  

17.

What is barter?

(a)  

18.

What is efficiency in economic terms?

(a)  

19.

What is an entrepreneur? and why are they so important in our economy? What is the goal of an entrepreneur?

(a)  

20.

They might also use rewards in order to motivate others to make a choice or behave in a certain way. What word matches with this definition

a)

Motivational factors

b)

Incentives

c)

Profit

d)

Disincentives

21.

Why do we learn economics?

(a)  

22.

They might also use punishments in order to motivate others to make a choice or behave in a certain way. What word matches with this definition

a)

Motivational factors

b)

Incentives

c)

Profit

d)

Disincentives

23.

What is trade-off?

(a)  

24.

What is the percentage of profit and how do you calculate it?

(a)  

25.

What is profit and how do you find it?

(a)  

26.

Why is profit so important in an economy?

(a)  

27.

What is another name for market economy?

(a)  

28.

What is a market?

(a)  

29.

What is a market economy?

(a)  

30.

What is the difference between physical wants and psychological wants?

(a)  

31.

Give me some examples of physical wants and then give me some examples of psychological wants. In complete sentences.

(a)  

32.

Explain what the want-satisfaction chain is and the process of it from beginning to scratch.

(a)  

33.

What is production? What is distribution? What is consumption?

(a)  

34.

What are the 7 ideas of the economic way of thinking?

(a)  

35.

Is our economy a price derived economy: meaning that does the price have full control over our economy. True or False and why?

(a)  

36.

What are some other factors that motivate consumers whether to buy a product or not other than price?

(a)  

37.

What are the three questions that every economic system must answer?

(a)  

38.

Information is scarce. How do you make a decision about something when the something's information is scarce?

(a)  

39.

What are the pillars of free enterprise?

(a)  

40.

What is voluntary exchange? What is market competition?

(a)  

41.

What are the three main common models in economics? What are descriptive models?

(a)  

42.

What is the Circular Flow?

(a)  

43.

What are households?

(a)  

44.

Check all that apply for what households are?

a)

Consumers

b)

Producers

c)

Resource owners

d)

Sellers

e)

Buyers

45.

Explain in detail why households are resource owners, consumers, and producers.

(a)  

46.

Why is the government so important in our economy?

(a)  

47.

Why do economists like to add only a bit of information onto their models?

(a)  

48.

Why is competition, which is similar to rivalry, so important in our economy?

(a)  

49.

Describe what is competition in resource markets.

(a)  

50.

Describe what is competition in markets for products.

(a)  

51.

What are resources?

(a)  

52.

What are some signs of economic growth? What happens to the circular flow when economic growth occurs? and why?

(a)  

53.

Does the demand for resources and products change as time passes? If so give me an example.

(a)  

54.

What are the goals of the U.S. economic system?

(a)  

55.

Who was the founder of economics?

(a)  

56.

What is the "invisible hand" in economic terms?

(a)  

57.

All things are scarce.

a)

True

b)

False

58.

All things produced with scarce resources are scarce.

a)

True

b)

False

59.

All scarce things today have always been scarce.

a)

True

b)

False

60.

Anything having an opportunity cost is scarce.

a)

True

b)

False

61.

What is trade?

(a)  

62.

Anything sold for a price is scarce.

a)

True

b)

False