WorksheetsEconomics Unit 4 Review
Total questions: 18
Worksheet time: 10mins
Which of the following is the best definition of an economic indicator?
A measure of how high the inflation rate is
A measure that helps to analyze the overall health of the economy
A measure that allows policymakers to improve our trade balance
A measure that tells economists if the economy is operating at equilibrium
Which of the following is NOT an economic indicator?
GDP
Inflation
Stock Market
Taxes
The unemployment rate factors in all individuals not working, including the elderly and children.
True
False
Gross Domestic Product (GDP) measures the dollar value of...
all final goods and services produced within a country's borders in a year
all goods and services produced within a country's borders in a year
The total sales of products within a country's borders in a year
The total value of all goods and services exported from a country in a year
Which of the following is NOT a characteristic of a free enterprise system?
the economy is regulated by the government
commercial activities are regulated through private measures
people are motivated by profit
there are high levels of competition
Which of the following is NOT one of the 5 pillars of Free Enterprise?
Private Enterprise
Collective Enterprise
Private Property
Consumer Sovereignty
Which of the following is NOT an advantage of a free market?
Consumer Sovereignty
Absence of Bureaucracy
Optimal Allocation of Resources
Fixed Prices
What is a danger of a free market economy?
Tyrannical Government
Excessive government regulations
Excessive power of firms
High prices of resources and goods
A comparative advantage refers to a country that can produce more of a good or service than another country given the same resources.
True
False
If a country has a favorable balance of trade, ...
they are importing more than they are exporting
they are exporting more than they are importing
they are completely self-sufficient
they share resources openly with other countries
Which of the following groups would most likely support government bailouts of businesses?
Liberals
Conservatives
Libertarians
Communists
Which of the following groups would most likely oppose the COVID stimulus checks? (Select all that apply!)
Libertarian Party
Democratic Party
Republican Party
The Green Party
If the United States can produce 50,000 tanks or 1 million cars, and Mexico can produce 75,000 tanks or 800,000 cars, given the same amount of resources, then which of the following are true?
The United States has an absolute advantage in the production of tanks
The United States has a absolute advantage in the production of cars
The United States has a comparative advantage in the production of tanks
Mexico has an absolute advantage in the production of cars
If the United States can produce 50,000 tanks or 1 million cars, and Mexico can produce 75,000 tanks or 800,000 cars, given the same amount of resources, then which of the following are true?
Mexico has a comparative advantage in the production of cars
Mexico has an absolute advantage in the production of cars
The United States has a comparative advantage in the production of cars
The United States has an absolute advantage in the production of tanks
If the United States can produce 50,000 tanks or 1 million cars, and Mexico can produce 75,000 tanks or 800,000 cars, given the same amount of resources, then which of the following are true? (Select all that apply!)
Mexico has a comparative advantage in the production of tanks
Mexico has an absolute advantage in the production of tanks
Mexico has a comparative advantage in the production of cars
Mexico has an absolute advantage in the production of cars
If the United States can produce 50,000 tanks or 1 million cars, and Mexico can produce 75,000 tanks or 800,000 cars, given the same amount of resources, then which of the following are true? (Select all that apply!)
Mex. should produce tanks (absolute advantage) and U.S. should produce cars (comparative advantage)
Mex. should produce cars (comparative advantage) and U.S. should produce tanks (comparative advantage)
Mex. should produce tanks (comparative advantage) and U.S. should produce cars (absolute advantage)
Mex. should produce cars (absolute advantage) and U.S. should produce tanks (absolute advantage
Which of the following would mostly likely occur if there was a very significant increase in the minimum wage without government funding for businesses?
A reduction in competition for high paying jobs
The elimination of certain low-paying jobs
A sharp decline in the unemployment rate
Great productivity in labor-intensive industries
Which term describes "large-scale" economics? (AKA a nation's economy as a whole)
Microeconomics
Macroeconomics
Gross Domestic Product
Consumer Price Index
