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AGR113 - CHAPTER 1

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Choose all basic economic concepts

a)

Scarcity

b)

Unlimited

c)

Opportunity cost

d)

Choice

2.

The forgone benefit that would have been derived from an option not chosen is known as

(a)  

3.

The demand for a good or service is greater than the availability of the good or service is known as

(a)  

4.

The basic economic concepts of scarcity, choices and opportunity cost can be explain by the diagram called (a)  

5.

What is the definition of economic?

a)

A study of how people use their unlimited resource to fulfill unlimited wants and involves alternative or choice.

b)

A study of how people use their unlimited resource to fulfill limited wants and involves alternative or choice.

c)

A study of how people use their limited resource to fulfill unlimited wants and involves alternative or choice.

d)

A study of how people use their limited resource to fulfill limited wants and involves alternative or choice.

6.

An economic system where all the economic decision are made by the government or a central authority is called ______

a)

Capitalist economic system

b)

Mixed economy system

c)

Islamic economic system

d)

Socialist economic system

7.

The followings are assumptions for PPC except

a)

Two products

b)

Full employment

c)

Technology is expandable

d)

Fixed resource

8.

A point outside PPC shows _______ production

a)

unattainable but inefficient

b)

attainable but inefficient

c)

attainable and efficient

d)

unattainable

9.

A point along the PPC shows ________ production

a)

attainable and efficient

b)

attainable and inefficient

c)

unattainable and efficient

d)

unattainable and inefficient

10.

A point inside PPC shows that the resources are ______ for the production of goods.

a)

not enough

b)

enough

c)

not fully utilized

d)

fully utilized

11.

More output is represented by a/an _______ shift in the production possibility curve

a)

downward

b)

unexpected

c)

outward

d)

left

12.

Biased technological change happens when

a)

the technological change benefits both production of goods

b)

the technological change discourage production of both goods

c)

the technological change discourage production of one of the good

d)

the technological change benefits only one production of good

13.

No private ownership is one of the feature of _______ economic system

a)

capitalist

b)

mixed

c)

socialist

d)

Islamic

14.

Monopoly can be control under _______ economic system

a)

capitalist

b)

mixed

c)

socialist

d)

islamic

15.

Ignorance of human welfare, wasteful competition and misallocation of resources are among disadvantages of ______ economic system

a)

socialist

b)

Islamic

c)

mixed

d)

capitalist