WorksheetsEcon - Benchmark 1 Review
Total questions: 50
Worksheet time: 48mins
What is NOT an example of a substitute?
A product may be amazing, but unless consumers are __ and __ to purchase it, it's not in demand. Select two to complete the sentence.
willing
wishing
able
planning
In terms of resources, what do households provide for businesses?
loans
savings
labor
private goods
What are the four main parts of the circular flow diagram?
Product Market, Stock Market, Factor Market, Fish Market
Product Market, House Market, Factor Market, Good Market
Factor Market, Product Market, Households, Businesses
Factor Market, households, Stock Market, super market
Where are factors of production (land, labor, etc) exchanged in the circular flow model?
Factor Market
Product Market
Firms
Individuals
Someone buys a car in exchange for a large amount of money. They have completed an exchange in which part of the circuclar flow model?
Product Market
Factor Market
Firms
Individuals
What causes a change in quantity demanded?
A change in consumer income
A change in production possibilities
A change in the number of sellers
A change in price
In college people can major in a wide variety of fields including medicine, journalism, business and design among others. This is an example of the concept of
scarcity.
specialization.
elastic demand.
progressive taxation.
If a point lies on the curve this means the company/country/individual is being efficient. If a point lies inside the curve, what does that tell?
They are being over efficient
They are being inefficient
It is not impossible with the given resources
They are still efficient, just at another point
A consumer would be best defined as...
A person who purchases goods and services for personal use
A business that consumes other businesses
A business or person who creates a product to sell
A person who purchases goods in order to resell them.
A __________ is work people do for consumers.
Service
Goods
Durable goods
Consumers
When society does NOT have enough resources to produce all the things people would like to have.
The economic problem is that
resources are limited and wants are limited.
resources are unlimited and wants are limited.
resources are limited and wants are unlimited.
resources are unlimited and wants are unlimited.
Consumers have all the power in a market economy. Our dollars are like ______ for a product.
votes
rubles
power
ability
In consumer sovereignty, _____ is king.
Producer
Consumer
Government
Business
What is one advantage of a Command Economy?
Individual freedom for everyone
Health and public services are available to everyone at little or no cost.
The government rarely interferes.
Able to adjust to change gradually
A large part of a command economic system is controlled by:
a centralized power; federal government
No one. It's an economy based off of individual freedom
In a market economy, who answers the 3 economic questions?
Buyers and sellers
The government
Traditions and customs
Your mom
A(n) ____ is a method a society uses to answer the 3 economic questions.
Economic System
Market Structure
Type of Government
Planning Board
What type of Economic System does the U.S. actually have?
Mixed economy
Command economy
Traditional Economy
Planned Economy
The ____ are the resources necessary to create goods and services.
Factors of Production
Means of Assembly
Free Enterprise
Laissez Faire System
In a Market Economy, who owns the Factors of Production?
Individuals
The government
The president
The military
What type of economic system allows government regulation and private businesses and individuals to make economic decisions?
Why do all societies have to make decisions about how resources will be used?
People are greedy
There are not enough resources for those who want them
Resources are too expensive for most people
Because there is a huge gap between the rich and poor
Scarcity is defined as a limited supply of resources and...
limited wants for those resources
unlimited resources
limited resources
unlimited wants for available resources
When the production of a good or service is broken down into different steps with different workers performing each step, it is called ___________.
division of goods
division of labor
division of skills
division of steps
The amount of work a worker can perform in a given period of time (e.g., customers served per hour) is referred to as (a)
The government pays for public goods and services through —
donations from wealthy politicians
donations from foreign nations
revenue from sales and income taxes
revenue from the lottery
