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Applied Economics Lesson 2

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

The basic question in economics asking about the target market for the product.

a)

For whom to spend?

b)

For whom to produce?

c)

What to produce?

d)

How to produce?

2.

This refers to the resource mix and technology applied in production.

a)

For whom to spend?

b)

For whom to produce?

c)

How much to produce?

d)

How to produce?

3.

The basic economic question that tells you the quantity of a good or service to be produced.

a)

For whom to spend?

b)

For whom to produce?

c)

How much to produce?

d)

How to produce?

4.

Economics that deals with what is happening such as the current inflation rate,

the number of employed laborers, what is the papulation rate, etc.

a)

Negative Economics

b)

Normative Economics

c)

Overload Economics

d)

Positive Economics

5.

Refers to economics which embodies the ideal rate of population growth or the

most effective tax system or in other words “what should be”.

a)

Negative Economics

b)

Normative Economics

c)

Overload Economics

d)

Positive Economics

6.

Which of the following best describe Gross Domestic Product or GDP?

a)

Foreign residents

b)

Made by Filipinos

c)

Made in the Philippines

d)

Residents of a country

7.

Which of the following best describes Gross National Product or GNP?

a)

Foreign residents

b)

Made by Filipinos

c)

Made in the Philippines

d)

Residents of a country

8.

What is the formula to solve for the Gross Domestic Product (GDP)?

a)

Asset = Liability + Equity

b)

C + I + G + (X - M)

c)

C + I + G + (M - X)

d)

GDP + M

9.

Which is the least essential statement about the Philippines’ basic economic

problems?

a)

Economic resources may not be enough to support growing population

b)

Poverty is another significant socio-economic problem in of our country

c)

Unemployment is still a main problem of the Philippine economy

d)

Work from home and home schooling affects our economy

10.

The economic system that based on the working of demand and supply,

decisions are made on what goods and services to produce.

a)

Command economy

b)

Market economy

c)

Overflow Economy

d)

Traditional Economy

11.

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?)

a)

Command

b)

Market

c)

Traditional

d)

Mixed

12.

In a __________________ economy, families, clans, or tribes make economic decisions based on generational customs and beliefs.

a)

Command

b)

Market

c)

Traditional

d)

Mixed

13.

Place where buyers and sellers meet to exchange goods and services for money

a)

Money

b)

Market

c)

Government

d)

Space

14.

Of the three major economic questions, which of the following is the best example of a "What?" question? 

a)

Should automobiles be produced using workers or robots? 

b)

Should we make faster microprocessors or pest-resistant corn? 

c)

Should higher-income or lower-income people buy SUVs?

d)

Should migrant workers or domestic workers be used to pick grapes?

15.

When Fresh Express Salads decides to mechanically pick all of its lettuce, it directly answers the ___ question. 

a)

how

b)

what

c)

for whom

d)

how much