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WorksheetsEconomics Second Review
Total questions: 106
Worksheet time: 50mins
Inflation and hyperinflation damages society, but it damage these three the most immediately.
retired people
poor people
creditor (people who are owned money)
debtors
The only cause of inflation is --- and inflation is a(n) ---.
government, unconstitutional tax
local government, constitutional tax
This is not a bailment.
dropping off the dry cleaning
taking your car to the mechanic
putting a valuable thing in storage
putting am interesting thing on display in the museum
making a demand deposit in a bank
Mexico would have an absolute advantage in --- and a --- in manufacturing car and large household items over the United States.
absolute, comparative
comparative, absolute
2--- If you could only have two things to promote worldwide prosperity you would want.
improve productivity especially through specialization
more free global trade
tighter bureaucratic control of the economy
3 -- These three are trade barriers.
tariffs
quotas
embargoes
marginal utility
Gummy bears and most all candy products.
elastic supply
inelastic supply
Boesendorfer concert pianos (finest concert pianos)
elastic supply
inelastic supply
3 --- Demand is --3--
the desire for the good or service
the ability to buy the good or service
actually buying the good or service (human action)
the ability to be demanding in a variety of circumstances
Picasso painting have --- and Music downloads have ---
perfectly inelastic supply, perfectly elastic supply
perfectly elastic supply, perfectly inelastic supply
Private property is the solution to the tragedy of the commons because it provides ---.
excludability
executive summaries
This is the correct theory of value and it was developed by Carl Menger
Marginal Utility
the labor theory of value
the intrinsic theory of value
the cost theory of value
the rarity theory of value
Government stimulus spending that supposed creates 1oo jobs will cost
120 jobs due to wasted money, taxation, and borrowing that damages the economy
1000 jobs but that is okay, if helps slow the economy and prevents inflation
Tom is a great fisherman and is no good at baking at all. Tom fishes and bakes bread. Jerry is a great baker and is not so good at fishing. Jerry bakes bread and fishes. They should ---
specialize and trade, thus getting advantages from trade
force Tom to teach Jerry to fish better and for Jerry to teach Tom to bake better.
John decides to spend an extra $100 in order to buy a car from his car dealer friend Joaquin. In other words he could have bought the car for $100 less from another dealer. In economic terms John is ---
a fool. You should always go for the lower price.
demonstrating the principle that values are subjective. John simply values the experience of buying the car from his friend and is willing to pay a little more for it.
Exchanges in a free market are only possible with a --- of valuation.
double inequality
equality
naturally scarce
Economics is less about goods and services and more about human --- and human ---. Economics is also about the --- of scarce resources that have --- uses.
choice, action, allocation, alternative
choice, action, allocation, alternating
A --- to an entrepreneur means keep doing what you are doing and a --- to an entrepreneur means.
profit, loss
loss, profit
--- tend to even out supplies, meet demand, tend to lower prices, find new uses for resources, reduce market ignorance.
The activities of entrepreneurs
The activities of government regulators
2/3 of the people of the world cannot access a larger world economy (globalism) or even a larger national market where they live because they do not have --3--.
available licenses to work
ability to prove they own what they own
the ability to identify themselves to a broader world
a good talent agent
Top professional athletes. "A" list actors, world famous singers and comedians can make tens of millions of dollars a year because
their work product can be scaled up
the world is not a fair place
This college student is too busy making money and doing important work to complain about "society" She studied ---. This college student has learned nothing that leads to a job and has learn how to be resentful for capitalism even though capitalism created the wealth that allows people to get worthless complaint-theory degrees. She studied ---
engineering, social justice
social justice, engineering
The most prosperous place in the world ---
have a Gosplan
are command and control economies
are the freest
Socialist economies produce starvation and poverty because they are ---
command and control system that cannot use individual minds
free and capitalist and operate by free market principles
Capitalism rewards --2--
producers of goods that people actually want (entrepreneurs)
providers of services that people actually want (entrepreneurs)
merit according to the masterminds and the makers of fashionable opinion
1) primitive communism of hunter-gatherers 2) Emperor-master-slave economic relationships 3) Medieval feudal relationships 4) Capitalism Employer worker relationships 5) the Communist utopia cause by the murder of the ownership class
Karl Marx's blood soaked and incorrect theory had mankind "progressing" through these phases.
Honest historical accounts of what actually happened in the world.
In capitalism it is critical the old production methods and the old obsolete products and services must all die so that new products and production methods can get first call on the resources and workers.
Ironic interpretation of capitalism
Diminishing Marginal Utility
Marginal Utility
Creative Destruction
The vast majority of businesses in the United States have
fewer than 220 emplyees
over 500 eemplyees
An oil company buy three other oil companies. All of the companies simply drill for oil and refine it.
horizontally integrated
vertically integrated
conglomerate
This is a huge business form in Japan. A holding company buys many unrelated business from manufacturing finished goods, parts, and department stores as well as farms
horizontally integrated
conglomerate
They are expensive and difficult to start up, they are subject to double taxation, the founder of the corporation can lose control, and there are a tremendous amount of regulation and rules.
These are disadvantage of a corporation
These are advantage of a corporation
Hobby lobby is an example of a --- and Walmart is an example of a ---.
closely held, publicly held
publicly held, closely held
When spending other people's money on other people.
Care about quality and care about a bargain.
Care about quality and don't care about a bargain.
Don't care about quality and care about a bargain.
Don't care about quality and don't care about a bargain.
When spending other people's money on yourself.
Care about quality and don't care about a bargain.
Don't care about quality and care about a bargain.
Don't care about quality and don't care about a bargain.
Care about quality and care about a bargain.
When spending your money on other people.
Don't care about quality and care about a bargain.
Care about quality and care about a bargain.
Care about quality and don't care about a bargain
Don't care about quality and don't care about a bargain.
When spending your money on yourself.
Care about quality and care about a bargain.
Care about quality and don't care about a bargain.
Don't care about quality and care about a bargain.
Don't care about quality and don't care about a bargain.
Gambling is more of a luxury good than an addiction (though for some it is an addiction). We know this because --2--
When unemployment in the nation was 7% unemployment is Las Vegas was 25%
People who live close to a casino spend less on gambling that people who live farther away from a casino
the United State government made it illegal to criticize gambling
These are three problems with barter --3--
lack of a coincidence of wants
lack of uniformity
the divisibility problem
the advertising problem
These are three problems with barter --3--
duplication of items problem
the store of value problem
lack of a recognized value with many goods
the product placement problem
There are two ways to allocate resources, goods and services: 1) with violence which is the --- and 2) with peaceful voluntary exchanges which is the ---.
political way, economic way
economic way, political way
When the market price increases people will buy less (ceteris paribus) all thing held the same. When the market price decreases people might buy more. A inverse relationship.
Law of Demand
Law of Supply
Equilibrium Point
When the price people are willing to pay increases suppliers (producers) are willing to supply more. A positive relationship with price.
Law of Supply
Law of Demand
Equilibrium Point
This is not necessarily where people are happy or completely satisfied, but it is where buyer and seller agree to the extent where production continues and waste does not occur.
Equilibrium Point
Law o supply
Law of Demand
When the Union of Soviet Socialist Republics command and control economy bureau "Gosplan" ordered number of nail the people of the USSR got --- and when "Gosplan" order tonnage of nails the people of the USSR got ---. Under all circumstance we can be sure that --- because it was a government command and control economy.
many tiny nails, huge spike nails, the people didn't get the nails they needed
many tiny nails, huge spike nails, the people got the nails they needed on time
huge spike nails, many tiny nails, people got the nails they needed
The price of tin increases greatly. The command and control economy --- and the market economy ---.
will choose a use and all other uses will get no tin at all, will produce a variety of responses from substitute to different production methods to changing priorities
will produce a variety of responses from substitute to different production methods to changing priorities will choose a use and all other uses will get no tin at all
This is a source of error in economic thinking. Too often long term consequences, or the secondary effects of an action are ---. This is because economics is about what is --- and what is ---.
ignored or not even considered, seen, unseen
taken too seriously, played, forfeited
Land, Labor, Capital, Entrepreneurship are called the
productivity factors
Factors of Production
Labor is a derived good. It is derived from the value of the good and services it provides and produces.
true
false
Labor is valuable in and of itself.
true
false
They make a high income hundreds of thousands to several million a year because it is important to pay intelligent and conscientious people enough to keep them on the job.
They make tens of millions because only the best are needed to entertain an entire world that sees their entertaining play because it is scaled up by broadcasting.
They make tens of millions because only the best are needed to entertain an entire world that sees their entertaining play because it is scaled up by broadcasting.
It is important to pay intelligent and conscientious people enough to keep them doing what they do for us.
primary
secondary
tertiary
quaternary
quinary
primary
secondary
tertiary
quaternary
quinary
primary
secondary
tertiary
quaternary
quinary
Programmer
primary
secondary
tertiary
quaternary
quinary
primary
secondary
tertiary
quaternary
quinary
Economics is mostly about what people do, not what they say they are going to do. Economics is about human action.
true
false
A certifier is a middleman who verifies the quality and nature of a good or service for a potential buyer.
true
false
A certifier simply brings buyers and sellers together
true
false
the United States
Russia
China
India
Mexico
the United States
India
China
China
the United States
India
Mexico
Thomas Jefferson
James Madison
secondary
primary
quaternary, famous computer programer
quinary, elected leader of Mexico
quinary, murdered over 70 million people
Josef Stalin, International Socialist or Communist
Adolf Hitler, National Socialist a species of socialism
National Socialist dictator Adolf Hitler
International Socialist Josef Stalin
primary
secondary
tertiary
quaternary
quinary
primary
secondary
tertiary
quaternary
quinary
primary
secondary
tertiary
quaternary
quinary
Insurance companies are --- middlemen.
the risk-bearer
the bridge
A person who will not hire a caterer if the food or service is ever bad from them.
the enforcer middleman
the insulator
A talent agent creates a space between the entertainer and the person who might hire an entertainer.
the insulator
the bridge
Joe Biden
Mike Pence
Marco Rubio
Ted Cruz
Ted Cruz
Marco Rubio
Golden Gate Bridge
San Francisco Bay Bridge
Angkor Wat
Taj Mahal
A lawyer that handles a divorce is
an insulator
a bridge
The type of middle man who can arrange a comprehensive tour of Mexico that will make certain that I do not miss any of the Olmec. Mayan, and Aztec sites that I want to see.
the Concierge
the Bridge
A cattle buying agent that helps me buy cattle from the haciendas in Northern Mexico
the enforcer
the bridge
In economics we take trade-offs
seriously
to lunch, a free lunch
Luxuries have a --- demand
inelastic
elastic
Necessities have a --- demand.
inelastic
elastic
inelastic demand
elastic demand
elastic demand
inelastic demand
inelastic supply
elastic supply
horses
goats
chickens
There is no such thing as a free lunch.
economic truth
political truth
The most basic improvement that leads to more goods and service and therefore prosperity come from --2--
specialization and trade
education and advertising
Julius Caesar
Chris Rock
Buckingham Palace
the Vice Presidential residence
quarter dome
half dome
three-quarters dome
entire dome
black bear
big dog
We value things --- and in ---.
subjectively, rank order
objectively, cardinal numbers.
An amount of money fits into our rank ordered subjective valuations along with a good or service.
true
false
Juanita has a reservation price of $50,000 for an SUV that she wants to buy. All the SUVs she likes are $40,000. What happens next.
she will not buy an SUV
she will take a second look at the features of the ones that she likes.
Termite mounds, snow flakes and free market economies all produce more complexity, beauty and wealth than can be deliberately planned.
true
false
select two
Communist China
the flag under which 70 million were murdered
Soviet Union flag
Walter Williams
Thomas Sowell
Thomas Sowell
Walter Williams
select 2
Union of Soviet Socialist Republics
the People's Republic of China (Communist China)
the flag under which 60 million people were murdered
select 3
Socialist dictator of Cambodia in the 197os
murder 1/4 of the population of Cambodia
required children to do much of the murdering with sharpened shovels
professional baseball player
F.A. Hayek
Hernando de Soto Polar
Milton Friedman
F.A. Hayek
Milton Friedman
Hernando de Soto Polar
Hernando de Soto Polar
F.A. Hayek
Milton Friedman
two major concepts of Joseph Schumpeter
the ironic theory of capitalism. Education is available because of the prosperity of capitalism. Capitalism cannot survive educated, but useless complainers.
Old products and production methods must die so new products and production methods can come about. Creative Destruction
Capitalism will make people poor and it will destroy itself
