WorksheetsPost test Practice
Total questions: 65
Worksheet time: 25mins
Microeconomics is the study of ...............
The workings of an economy as a whole
The interactions between Governments, Firms, and Individuals/households
Small animals
The behaviors of individual households, firms, and markets
movement along the curve
movement along the price curve
a change in quantity demanded of a good
A shift of the entire demand curve
Who or what answers the basic economic questions in a MIXED economy?
Individuals and Businesses
Government
Custom
Individuals, Businesses, and Government
Scarcity arises because all societies have
Unlimited wants and needs with limited resources to satisfy those wants and needs
unlimited productive resources to satisfy limited wants
limited needs and unlimited wants
unlimited needs and limited wants
If the value of a country's exports is more than its imports, then the country has a __________ .
trade surplus
trade deficit
Trade balance
Which of these is an example of a retirement account?
401k
IRA
Roth IRA
All of these
If supply increases and demand does not change, what will happen to the price?
The price will rise
The price will decrease
The price will stay the same
Demand will increase
The value of the next best alternative
Marginal cost
Opportunity cost
Revenue
Marginal utility
The trees used to build a piece of furniture would be classified as
Entrepreneurship
Human Resource
Physical Capital
Natural Resource
Social Security and Welfare make up the governments largest part of...
Discretionary Spending
Voluntary Spending
Mandatory Spending
Available Spending
This type of investment earns higher interest rates than savings accounts. This investment is meant to be "liquid" at a certain date. This investment allows you to roll your interest payments back into the investment to earn compound interest.
Certificate of Deposit AKA C.D. or COD
mutual fund
Stock
How is an increase in quantity demanded best represented on the graph?
Moving from A to B
Moving from D1 to D2
Moving from D2 to D1
Moving from B to A
If a country can produce a good at a lower opportunity cost than another country, that country has the _____ _______ in producing that good.
Absolute Advantage
Comparative Advantage
Trade Advantage
Trade Surplus
The risk taker who started a furniture building business would represent
Macroeconomics is the study of...............
Decisions made by individuals, households, and businesses
The workings of an economy as a whole
Large organisms
How people use their limited resources to satisfy their unlimited wants
What is illustrated in this image?
The stock market
Savings returns
The business cycle
Fluctuations in net exports
An observer of this graph would say that it represents a(n):
Increase in supply
Decrease in supply
Decrease in quantity supplied
Increase in quantity supplied
GDP that is calculated in current years prices and not adjusted for inflation is_____?
Nominal GDP
GDP per Capita
Real GDP
Stock Value
How is an increase in demand best represented on the graph?
Moving from A to B
Moving from D1 to D2
Moving from D2 to D1
Moving from B to A
Which letter represents an expansion?
A
B
C
D
What is the Equilibrium Price in this market?
$2
$4
$6
$8
If the Quantity Demanded is more than the Quantity Supplied, the market has a __________
shortage
surplus
equilibrium
If the demand of a product decreases and supply does not change, you would expect the price of the product to do what? (Might want to draw it out with a supply and demand curve, then shift the demand curve)
rise
stay the same
go up
decrease
What is an overall increase of the general price level of goods and services in an economy?
Inflation
Deflation
Stagflation
Recession
Type of unemployment that occurs as a result of harvest schedules, vacations, or when industries make seasonal shifts in their production schedules.
Seasonal Unemployment
Structural Unemployment
Frictional Uneployment
Cyclical Unmeployment
Which letter represents a contraction?
A
B
C
D
These are expenditures that the government must spend money on.
Discretionary Spending
Mandatory spending
Voluntary Spending
Methodical Spending
What category of GDP do things like cell phones and clothes (made in the US) belong in?
Consumer Spending
Business/Investment Spending
Government Spending
Net Exports
When you borrow money, you will likely pay this back plus the principle.
interest
savings plan
scarce
purchase
If the value of a country's imports is more than its exports, then the country has a __________ .
trade surplus
trade deficit
Trade balance
Which of these investments is best known for its diversification?
CD's
Bonds
Mutual Fund
Savings Accounts
An observer of this graph would say that it represents a(n):
Decrease in supply
Decrease in quantity supplied
Increase in demand
Increase in quantity supplied
Anytime you borrow money, you are creating this.
compound interest
emergency fund
APR
debt
If one country can produce a certain good or service better, in larger quantities, or faster than another country, they are said to have this.
comparative advantage
absolute advantage
What is the quantity supplied at a price of $8 in this market in this market?
10
20
30
25
Goods and services produced in Mexico and bought by someone in the United States would count in what category?
C
I
X
M
Which letter represents a peak?
A
B
C
D
A trade bloc of Euroupean countries.
ASEAN
EU
NAFTA
To focus on producing one thing to improve productivity or efficiency is known as:
What is the quantity demanded at a price of $8 in this market in this market?
10
20
30
25
This is the Federal Reserve's system of manipulating the money supply to influence the economy.
Monetary Policy
Fiscal Policy
Implemented Policy
Business cycle regulation policies
The point where supply and demand intersect (Where Quantity demanded is equal to Quantity Supplied) is called what?
Market equilibrium
Market elasticity
demand curve
supply curve
Which letter represents a trough?
A
B
C
D
A measure of a country's exports minus imports.
free trade
protectionism
balance of trade
When trying to decide what goods or services to specialize in, a country should consider the __________________.
Law of Comparative advantage
Law of Specialization
Law of absolute advantage
Law of Division of labor
If the value of a country's imports is equal to its exports, then the country has a __________ .
trade surplus
trade deficit
Trade balance
In order to be considered unemployed, you must fit in what criteria?
15 or older and don't have a job
16 or older and don't have a job, but currently looking for one.
18 or older and looking for a job.
Any age, don't have a job, but currently looking for a job.
When using marginal analysis, when does producing an additional unit payoff?
If marginal benefits are equal to or greater than marginal costs.
If marginal costs are equal to or greater than marginal benefits.
When revenue decrease
When the price is high
How many digits are in a credit score?
2
3
4
5
FICA taxes are taken from peoples..
Wages, but not tips
Wages
Inheritance
Property value
What is the largest source of revenue for local governments?
Income Taxes
Social security taxes
Property Taxes
Sales Tax
What letter represents "Imports" in the formula for GDP?
C
I
G
X
M
When there is a shortage, prices will usually do what?
Decrease
Stay the same
Increase
Shift the demand curve
What is the additional cost associated by producing one additional unit of product?
Variable Costs
Fixed costs
Marginal Costs
Established costs
If Mr. Jones owns a business in which he has unlimited liability, full decision making, and exlusive rights to profits, he owns what type of business organization?
Corporation
Partnership
Sole Proprietorship
None of these.
If you pay a high premium for insurance, what effect will this usually have on your deductible.
Low Deductible
High Deductible
No effect on your deductible
Higher Premiums
When the Federal Government spends more money than it collects in tax revenue, this creates a
Budget Surplus
Budget Deficit
Balanced budget
Discretionary Budget
What is used to determine the price of one countries currency in terms of another countries currency?
GDP
Exchange Period
The Federal Reserve
Exchange Rate
What do banks want to make sure they will not lose money on a loan?
Customers with low credit scores
Collateral
Debt
Interest Earned
What is the best way to make sure you will not have to pay APR on a credit card?
Pay the minimum payment each month
Carry a balance
Pay off your balance in full each month
Use the introductory rate of 3% interest.
