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Intro to Economics

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

The study of how society manages its scarce resources is an understanding of...

a)

economy

b)

economist

c)

economics

d)

economica

2.

In managing limited resources, people need to understand the first economic principles in the form of...

a)

how someone consumes money

b)

how someone make choice and decision

c)

the individual role's in global economic

d)

how to prevent inflation

3.

When a student who has just graduated from a university in Jogja and chooses to work in the city of Jakarta with a salary and savings calculation that is more profitable than living in his hometown, then that person has applied the principle of...

a)

opportunity cost

b)

trade off

c)

rational at margin

d)

organise market activity

4.

All of the following are reasons why countries trade, except...

a)

every country has something different from each other

b)

because both countries want to achieve optimal economies of scale

c)

production activities can be more efficient

d)

because the country wants to produce all his own merchandise

5.

The ability to produce a good at a lower opportunity cost than other producers is called...

a)

trade

b)

interdependence

c)

specialisation

d)

comparative advantage

6.

The following is a correct explanation of the demand curve drawing, namely....

a)

Shift to the right if something is driving consumers to buy more products

b)

Move to the right when something is holding consumers back from buying more products

c)

Shift to the left if something is driving consumers to buy more products

d)

Shift left and right if something drives consumers to buy more products

7.

Consumer preferences are one of the factors that influence market demand, the reason...

a)

less consumer choice will affect the decline in demand

b)

the more choices of consumers will affect the decrease in demand

c)

demand will increase in line with increasing consumer choices

d)

demand will decrease when there is no other choice from consumers

8.

The law of supply states that...

a)

supply will remain stable when the price goes up

b)

the quantity supplied of a good decreases when the price of the good increases

c)

the quantity supplied of a good increases when the price of the good rises

d)

supply will increase when the price goes down

9.

The situation in which the market price has reached the level where the quantity supplied equals the quantity demanded is an explanation of...

a)

equilibrium price

b)

balance quantity

c)

equilibrium point

d)

elasticity

10.

A measure of the responsiveness of the quantity demanded or the quantity supplied to a change in one of its determinants is also called...

a)

Elasticity

b)

Equilibrium

c)

Entity

d)

Equality

11.

If an increase in the price of a good has a large effect on the quantity demanded of that good, then the demand is said to be...

a)

Unitary elastic

b)

Elastic

c)

Inelastic

d)

Perfectly inelastic

12.

Supply is usually more elastic in the long run than in the short run. The statement regarding to supply is true, except....

a)

over a short period of time, companies cannot easily resize their factories to produce more or less goods.

b)

in the short run, the quantity supplied is not very responsive to price.

c)

over a longer period, companies can build new factories or close old factories

d)

over a short period of time, companies can easily resize their factories to produce more or less goods.

13.

In the sixth topic, we studied the role of government in controlling market prices. The price control is carried out by the government because...

a)

government intervened massively

b)

seller wants low price

c)

there is an injustice between the seller and the buyer

d)

buyers always ask for high prices

14.

Price control can be done by making policies in the form of...

a)

monopoly market price

b)

low seller price

c)

highest price and lowest price

d)

high buyer price

15.

When governments levy taxes on certain products, in general and in reality who has to bear the costs in the end?

a)

government

b)

consumers

c)

seller

d)

supplier