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Chap 1 Econ Practice Test

Total questions: 11

Worksheet time: 6mins

Name
Class
Date
1.
Which of the following is not a good?
a)
Clothes
b)
Food
c)
Dog Walker
d)
Toys
2.
A _____________ is a person who starts a business.
a)
Teacher
b)
Entrepreneur
c)
Actor
d)
Student
3.

A shortage of a resource, like water and corn in 2012, is considered...

a)

Scarcity

b)

Surplus

c)

Profits

d)

Income

4.

Water may be considered a _______; while diamonds may be considered a ________.

a)

resource; scarcity

b)

necessity; luxury

c)

good; resource

d)

shiny thing; shiny thing

5.

Which type of economy is run by the businesses & business owners and has little to no government intervention?

a)

Command

b)

Mixed

c)

Communist

d)

Market

6.

When each person has a special skill and does one job or one part of a project./ Cuando cada persona tiene una habilidad especial y hace un trabajo o una parte de un proyecto.

a)

Interdependence

b)

Specialization

c)

Division of Labor

7.

When a project is divided, or broken down, into smaller jobs./ Cuando un proyecto se divide o desglosa en trabajos más pequeños.

a)

Interdependence

b)

Specialization

c)

Division of Labor

8.

A Trade-off is

a)

a purchase in a marketplace.

b)

an alternative that we sacrifice when we make a decision.

c)

any good or service a consumer needs.

d)

a factor of production.

9.

What name is given to the value of the next best alternative that you give up when you make a decision?

a)

Trade-offs

b)

Opportunity cost

c)

Lost opportunities

d)

Options

10.

What roles do individuals play in a market economy?

a)

Individuals are consumers and laborers/entrepreneurs

b)

Individuals create specialized work

c)

Individuals make payment for resources

d)

Individuals buy productive resources

11.

True or False. Mexico has a stronger agricultural economy than the United States?

a)

True

b)

False