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BE 2.02 Quiz

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

What motivates businesses to produce efficiently and sell effectively?

a)

Profit

b)

Spending money

2.

A gap between unlimited wants and limited resources creates

a)

Resources

b)

Scarcity

3.

Seeing a movie at a theater would be considered a(n) ________ want.

a)

Economic

b)

Unlimited

4.

The heart of economics is

a)

Trade-offs

b)

Decision-making

5.

What are the three basic economic questions?

a)

What products will be produced, how will products be produced, and how will products be allocated

b)

Where will products be produced, when will products be produced, and what products

will be produced

6.

Which one of the following groups of words best describes wants:

a)

Limited, unchanging, and competing

b)

Unlimited, changing, and competing

7.

A large retailer feels that it has a duty to contribute to the well-being of society, so it donates a portion of its proceeds to a charity that helps the environment. The retailer is demonstrating

a)

Social responsibility

b)

Wholesaling

8.

Why are resources considered limited?

a)

There are so many that people must decide which ones to choose at any one time.

b)

There are not enough available for everyone to have as much of them as desired.

9.

In economics, capital goods include

a)

Buildings and equipment

b)

Mental and physical work

10.

_______refects the quantities that consumers are willing and able to buy at various prices during the same time period.

a)

Supply

b)

Demand

11.

The "actual" price that prevails in a market at any particular moment is the

a)

Market price

b)

Equilibrium price

12.

The best time for consumers to purchase products at reduced prices is when a(n)

a)

Seller's Market

b)

Buyer's Market

13.

In business terms, what is profit?

a)

A holiday bonus

b)

A monetary reward

14.

The concept that the supply of a good or service will increase when the demand is great and decrease when demand is low is known as the

a)

Law of Supply and Demand

b)

Law of Economic Resources

15.

Into what two categories can wants be divided?

a)

Economic and non-economic

b)

Unlimited and limited