WorksheetsUnit #1 Economics
Total questions: 12
Worksheet time: 6mins
Economics is about allocating resources to produce and distribute which of the following?
wages and profits
outcomes and properties
goods and services
consumers and producers
Which economic term refers to making decisions about the use of resources in the production and distribution of goods?
allocating
reusing
discovering
expanding
Which describes an efficient outcome?
Consumers are given the widest range of choice possible.
A company sets up retirement program for its employees.
A government program allocates food to the needy.
A car is designed to waste as little fuel as possible.
Which is not a goal pursued in the game of economics?
efficiency
freedom
inflation
equity
Which best explains why resources need to be allocated in the game of economics?
If sufficient resources are not set aside for future production, scarcity cannot be eliminated.
There are not enough resources to produce all of the goods and services that everyone wants.
There are always different production methods for the same goods and services.
Natural resources are often found in places far from where they are used for production
Which of these is most important in a free-market system?
providing equality of wealth
providing security from poverty
making allocation decisions for the entire nation
protecting private property rights
Because calculations of cost and benefit are subjective, they can be described by which of the following?
result in the best decision
turn out the same for everybody
vary from one person to another
require objective information
Which technological improvement did the assembly line bring?
reduction of human workload
improved communication
faster transportation
greater productivity
Why do consumers benefit directly from greater productivity?
The amount of natural resources needed to sustain human wants and needs decreases.
Goods and services are produced faster and can be sold more cheaply.
Older devices are replaced with newer versions more and more quickly.
Fewer workers are needed to produce more goods and services.
How do consumers influence the decisions of producers?
Through the purchasing decisions they make
Through following procedures set by the government
By working to produce goods and services
By setting prices for goods and services
Which most strongly drives producers in a free-market economy?
coercion
profit motive
government planning
utility satisfaction
In which way does the Internet influence the economic decisions people make?
Consumers are too busy handling the overflow of e-mail to make well-informed choices.
Advertising on the Internet is much easier to ignore than other advertising.
The information that is accessible allows consumers to consider every available option
E-commerce reduces the amount of competition among producers
