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WorksheetsEconomics Part 1
Total questions: 51
Worksheet time: 37mins
In which economic system is the protection of private property rights essential?
Command
Traditional
Market
Socialism
In which economic system does the government answer all three of the big economic questions? (What to produce? How to produce? For whom to produce?)
Command
Socialism
Market
Traditional
Based on the passage, East Germany's government planned to transform its economy from: Click the magnifying glass for a better view.
Traditional to mixed
Command to traditional
Market to mixed
Command to mixed
Which of the following best explains a mixed economy?
Private ownership of the factors of production and regulation of businesses by government
Market exchanges answer all three of the big economic questions
Family customs and traditions determine what and how to produce a good
Government answers all three of the big economic questions
What does government provide with the revenue it takes in from taxes?
Headaches
Public goods and services
More Congressmen
Greater control of the media
The limited amount of resources available
Resource
Competition
Scarcity
Cost
The number of consumers who want something.
Supply
Opportunity
Resources
Demand
The benefit you give up by choosing to do one thing instead of another.
Scarcity
Consumer
Market
Opportunity Cost
The amount of something that is available.
Supply
Producer
Competition
External Cost
A person or company who makes a good or a
service to sell to others
producer
advertising
profit
division of labor
Check all the positive incentives you see.
If you buy one sandwich you get one free.
Speeding ticket/fine
Buy an ice cream cone and get your sprinkles for free!
All children eat for free on Tuesday nights.
Capitalism is associated with all of the following characteristics EXCEPT __________
personal decisionmaking with regard to investments
the right to earn a profit based on individual effort
personal ownership of property
government intervention in the economy's decision making process
Cuba is clearly pursuing a gradual shift from a command to a market economy. Which of the following is NOT a possible benefit that could result from these economic reforms?
Workers who work harder could get paid more than usual
There could be more production than before the reform
Cuba could have higher GDP growth
Workers could have a guaranteed income
How can you determine that an economic transaction is voluntary?
Because I read the news
Because I make rational decisions?
Because I act of my own free will
Because I have complete access to information
Which of the following characteristics does NOT belong to a market economy?
private ownership
voluntary market exchange
governement price setting
incentives
According to the "invisible hand" theory, how can self-interest benefit society?
by frequently producing what consumers what
by trying intentionally to benefit society
self-interest can never benefit society
self-interest always benefits society
A monopoly is when:
One seller/business dominates an industry.
A few sellers/businesses dominate an industry.
Supply exceeds demand.
A business offers special gifts and coupons.
A technological monopoly involves:
Stealing plans from another business.
Being the only seller in a small town.
Having a patent for a new invention or scientific process.
Having a few sellers in the market.
In an oligopoly...
One seller dominates the market
A few sellers dominate the market
Many sellers are in the market
No sellers exist in the market
The economic problem is that
resources are limited and wants are limited.
resources are unlimited and wants are limited.
resources are limited and wants are unlimited.
resources are unlimited and wants are unlimited.
The opportunity cost of a good is
its price in dollars and cents.
the alternative goods forgone.
the price of alternative goods foregone.
none of the other options
The opportunity cost of Australian households moving away from coal-powered energy to solar-powered energy includes (i) the loss of jobs in the coal industry, (ii) a cleaner environment, (iii) reduced coal production.
(i), (ii) and (iii)
(ii) and (iii)
(iii) only
(i) and (iii)
When the demand curve shifts to the left, this suggests demand has
increased
decreased
Quantity demanded has increased
Quantity demanded has decreased
When the demand curve has shifted to the right, this suggests demand has
increased
decreased
quantity demanded has increased
quantity demanded has increased
Much of the tea in the U.K. is imported from India. If wages for Indian tea workers rose, thus increasing input costs, how would this effect supply of tea in the U.K.?
Supply would increase
Supply would Decrease
Supply would stay the same
India is not a real country
When the price of Nike brand shoes increases, we will probably go purchase a brand like Adidas or Pumas instead. Which of the following best explains this behavior?
Substitution Effect
Income Effect
Complement Goods
Consumer expectations
When price increases, quantity supplied
increases
decreases
Which of the following are considered fixed costs? (There are two answers)
Rent
Firm operators' salaries
Electricity
Part-time workers' wages
Which of the following would be considered variable costs?
Raw materials
Electricity
Part-time workers
All of the above
What do households provide to the resource market?
land, labor, capital, and entrepreneurship
money
people
income
