wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

Economic Literacy

Total questions: 13

Worksheet time: 9mins

Name
Class
Date
1.

When good weather in the Midwest increases the wheat harvest, the result is:

a)

Higher quantity and lower prices.

b)

Higher quantity and higher prices.

c)

Lower quantity and lower prices.

d)

Don't know.

2.

A person who uses a new idea to bring out a product or service to the marketplace is known as:

a)

A manager.

b)

A bureaucrat.

c)

An entrepreneur.

d)

Don't know.

3.

For most people, the largest portion of their personal income comes from:

a)

Interest from stocks and bonds they own.

b)

Wages and salaries from their jobs.

c)

Rent paid to them from property they own.

d)

Don't know.

4.

What word would apply if the total dollar value of spending in the US went up but the goods consumed remained same

a)

Deflation.

b)

Recession.

c)

Inflation.

d)

Don't know.

5.

Think about the quantity of plums and apples that people want to buy in a market. If the price of plums doubled and the price of apples stayed the same, what would happen to these quantities?

a)

Plums up, apples down.

b)

Plums down, apples up.

c)

Both plums and apples the same as before.

d)

Don't know.

6.

If in an emergency the government sets a limit on the price that can be charged for gas, what is the most likely result

a)

There will be more gasoline available than people want to buy.

b)

There will be less gasoline available than people want to buy.

c)

Don't know.

d)

The amount of gas available will be equal to the amount people want to buy.

7.

If a government restricts the imports of sugar into a nation, who is likely to benefit?

a)

Consumers of products that use sugar.

b)

The nation's sugar producers.

c)

Producers that use sugar as a raw material.

d)

Don't know.

8.

Why do people in all societies have to make choices about how to use resources?

a)

Resource owners are greedy.

b)

Resources used in the production of goods and services are limited.

c)

Consumers of resources are irrational.

d)

Don't know.

9.

Which of the following would reduce inequality of income in the United States?

a)

Increased use of technology that makes professionals more productive.

b)

Improvement of schools serving lower-income populations.

c)

Increased international trade in manufactured goods.

d)

Don't know.

10.

Suppose you have $100 in a savings account earning 2 percent interest a year. After five years, how much would you have?

a)

More than $102

b)

Exactly $102

c)

Less than $102

d)

Don't Know

11.

Imagine that the interest rate on your savings account is 1 percent a year and inflation is 2 percent a year. After one year, would the money in the account buy more than it does today, exactly the same or less than today?

a)

More

b)

Same

c)

Less

d)

Don't Know

12.

Suppose you owe $1,000 on a loan and the interest rate you are charged is 20% per year compounded annually. If you didn't pay anything off, at this interest rate, how many years would it take for the amount you owe to double?

a)
  • Less than 2 years

b)
  • 2 to 4 years

c)
  • 5 to 9 years

d)
  • 10 or more years

13.

Please tell me whether this statement is true or false. “Buying a single company’s stock usually provides a safer return than a stock mutual fund.”

a)

True

b)

False