WorksheetsEconomic Basics
Total questions: 15
Worksheet time: 8mins
Which statement best characterizes opportunity cost?
The amount of a good that businesses are able to produce
The amount of money left over after expenses have been paid
The value of a product that you give up in a tradeoff with another product
The number of people who are ready to buy a product at a certain price
How are natural resources, labor, capital, and entrepreneurs related?
Their demand is limited.
Their supply is unlimited.
Their supply is limited.
Their demand is unlimited.
Which of the following is NOT a factor of production?
land and natural resources
labor
capital
scarcity
Suppose a farmer uses skills and tools to grow strawberries on a farm, and she sells them at a market. A drought destroys the farmland which results in fewer crops. Consumers have to buy strawberries at a higher price. This situation would cause
contraction
expansion
profit
opportunity cost
system of producing, selling, and buying goods and services
scarcity
economy
profit
opportunity cost
The money an individual or business has left after paying expenses is called
capital
scarcity
profit
factors of production
Nations that rely on trade with one another for supplies of scarce resources experience
expansion
scarcity
economic interdependence
supply and demand
When a factor of production is increased, the result can be a(n) _____ of the business.
contraction
expansion
downfall
profit
The price of a good or service is usually determined by the laws of supply and demand.
True
False
Based on this graph, what happens to the demand for a product when the price increases?
The demand stays the same.
The demand decreases.
The demand increases.
There is no demand.
Your club is selling chocolate for a fundraiser. What is the term given to the amount of money that your customers pay minus the cost that your club actually paid for the chocolate.
supply
opportunity cost
profit
factor of production
Which factor of production is being described: The oceans, mines, forests, etc. that provide raw materials needed to product goods.
Capital
Labor
Land
Entrepreneurs
Which factor of production is being described: The person who organizes, manages, and assumes the risk of business.
Capital
Labor
Land
Entrepreneurs
Which factor of production is being described: The goods, used to make other goods and services.
Labor
Capital
Entrepreneurs
Land
Which factor of production is being described: The human time, effort, skills, and talent needed to produce goods and services.
Capital
Land
Entrepreneurs
Labor
