WorksheetsECONOMICS QUARTER 1
Total questions: 88
Worksheet time: 44mins
Which of the following statements is TRUE?
a. Economics is all about business management.
b. Economics deals with money and banking activities.
c. The main focus of economics is human’s choice.
d. Politics and business sector are the major concerns of economics.
Which of the following is NOT an economic goal?
a. Stability
b. Equity
c. Full employment
d. Unified choice
Which of the following comprises the economic resources?
a. Natural resources
b. Man-made resources
c. Both A and B
d. None of the above
Who is the father of classical economics?
a. Adam Smith
b. Karl Marx
c. Alfred Marshall
d. Lionel Robbins
Many businesses and essential activities around the world were much affected by Covid-19 pandemic. Is the global phenomenon related to economics?
a. No
b. Yes
c. Maybe
d. None of these
Which of the following statements is TRUE?
a. Applied economics focuses on the application of economic theory.
b. Applied economics is a tool used only by the businesses.
c. Applied economics is a tool used only by the public policy makers.
d. The scope of applied economics is broader than economics.
Which of the statements is NOT TRUE about economic theory?
a. It is used to analyze a certain economic situation.
b. It can predict future economic phenomenon.
c. It provides reasons why things happen.
d. It is the only solution to the economic problem.
Which of the following statements does not describe an economic model?
a. It is an empirical representation of economic theory.
b. It describes the economic situation through equations, graphs, etc.
c. It can predict future phenomenon.
d. None of the above
What is positive economics?
a. It is based on subjectivity.
b. It uses value judgement based on opinions.
c. It uses factual evidences.
d. None of the above
What is normative economics?
a. It is based on the subjectivity.
b. It refers to an objective statement.
c. It uses factual evidences.
d. None of the above
Which of the following statements is TRUE?
a. The main concern of macroeconomics is the business sector.
b. Microeconomics deals with a larger scope of the economy.
c. Microeconomics and Macroeconomics can be applied in real-life.
d. Studying macroeconomics is more important than microeconomics.
Which of the statements is NOT TRUE about macroeconomics?
a. It is used to address national economic problem.
b. It can predict future events.
c. It deals with poverty, education, and aggregate production.
d. It discusses the law of demand and supply.
Which of the following statements does not describe microeconomics?
a. It seeks to answer the household management.
b. It can predict future events.
c. It deals with poverty, education, and aggregate production.
d. It discusses the law of demand and supply.
Which of the following refers to macroeconomics?
a. Agricultural production
b. Pricing strategy
c. Both A and B
d. None of the above
Which of the following refers to microeconomics?
a. Profit Maximization
b. Gross National Income
c. Both A and B
d. None of the above
Which of the following statements is NOT TRUE?
a. The economic resources are used to produce goods and services.
b. Economic resources are land, labor, capital, and entrepreneurship.
c. Economic resources are naturally unlimited.
d. Economic resources are the factors of production.
Which of the following is NOT a fundamental classification of economic resources?
a. Land
b. Money
c. Labor
d. None of the above
Which of the following belongs to the basic economic questions?
a. What to produce?; For whom to produce?; and Where to produce?
b. What to produce?; For whom to produce?; and How to produce?
c. What to produce?; For whom to produce?; and When to produce?
d. None of the above
Which of the following refers to natural resources?
a. Land, minerals, water, and air
b. Man-made materials
c. Calamities and disasters
d. None of the above
Which of the following will not address by the basic economic questions?
a. Scarcity
b. Traffic in Metro Manila
c. Economic problem
d. None of the above
Which of the following statements is TRUE about opportunity cost?
a. Opportunity cost is the same as trade-off.
b. Opportunity cost is the foregone benefit in choosing the best alternative.
c. Opportunity cost happens when you sacrifice one thing to obtain another.
d. None of the above
Which of the following statements is TRUE about trade-off?
a. Trade-off is the same as opportunity cost.
b. Trade-off happens when you sacrifice one thing to get something.
c. Trade-off is the benefit in choosing the best alternative.
d. None of the above
Which of the following group is the classification of economic systems?
a. Traditional, Command, Market, and Mixed
b. Agricultural, Industrial, Technological, and Developmental
c. First World, Second World, Third World, and Fourth World
d. None of the above
Which of the following is NOT TRUE about barter system?
a. It refers to the exchange of goods and services without the use of money.
b. It is an old form of commerce.
c. It is evident in traditional economy.
d. None of the above
Which of the following statements best describes the production possibilities frontier?
a. It shows different combinations in producing two goods.
b. It is the production schedule of a good.
c. It reflects the possible solution to the problem.
d. None of the above
Which of the following is an economic problem?
a. Poverty
b. Unemployment
c. Traffic jam in Metro Manila
d. All of the above
What is unemployment?
a. People who are available for work but do not find any jobs.
b. These are the people who have no work.
c. It refers to a person who leave their current job.
d. All of the above
Which of the following is NOT TRUE about poverty?
a. It is a condition where people’s basic needs for foods, clothing, and shelter are not being met.
b. It occurs when people do not enjoy a certain minimum level of living standards as determined by a government.
c. It is a state which the income for a family/individual is not enough to sustain the basic food and non-food requirements.
d. None of the above
Which of the following is a cause of poverty?
a. Exposure to risk such as natural disasters
b. High inflation during crisis
c. Both A and B are correct
d. None of the above
Which of the following is a cause of unemployment?
a. Due to people moving between jobs
b. Fewer jobs available in the market
c. Both A and B are correct
d. None of the above
Which of the following statements refers to demand?
A. A relationship between the price of a product and the quantity demanded during a given period.
B. It refers to a quantity of a good or service consumers would choose to buy at a particular price.
C. It shows the number of goods that consumers are willing and able to buy.
D. All of the above
Which of the following statements does not describe the law of demand?
A. It shows the relationship between price and quantity demanded.
B. There is a negative relationship between price and quantity demanded.
c. Price is directly affected by quantity demanded.
d. None of the above
Which of the following is TRUE about ceteris paribus?
a. It is only focused on market demand.
b. It refers to factors of demand shift.
c. It means that all other things held constant.
d. None of the above
Which of the following scenarios causes the demand to shift upward?
a. Consumers are satiated with product
b. Increase in consumer’s income
c. The price is expected to decrease next week
d. None of the above
Which of the following factors does not cause a shift in the demand curve?
a. Price
b. The income of consumers
c. Expectations of future prices
d. None of the above
The number of goods that businesses are willing and able to sell at a specific price during a particular period.
A. Supply
B. Demand
C. Quantity supplied
D. Quantity demanded
It refers to the number of goods that producers are willing and able to sell at different prices.
A. Supply
B. Quantity supplied
C. Both a and b
D. None of the above
The law of supply states that:
A. As price goes up, ceteris paribus, the producers will offer more for sale.
B. As income increases, ceteris paribus, quantity supplied also increases.
C. As price increases, ceteris paribus, quantity supplied decreases.
D. None of the above
The relationship between the price and quantity supplied is:
A. negative
B. positive
C. negative first, then positive
D. positive first, then negative
This factor causes shifts of the supply curve.
A. PriceB. The income of consumers
B. The income of consumers
C. Cost of production
D. Inferior good
It is a situation where demand is equal to supply.
A. Price Stability
B. Fairness and Equity
C. Economic Growth
D. Market Equilibrium
It is a situation where demand exceeds supply.
A. Sufficient
B. Scarce
C. Shortage
D. Surplus
It is a situation where supply is greater than demand.
A. Shortage
B. Surplus
C. Scarce
D. Sufficient
In a graph, all points below the equilibrium point are:
A. Surplus
B. Shortage
C. Sufficient
D. Scarce
In a graph, all points above the equilibrium point are:
A. Surplus
B. Shortage
C. Scarce
D. Sufficient
It refers to the legal minimum or maximum prices set for specified goods.
A. Price Controls
B. Price Floor
C. Price Ceiling
D. None of the above
It refers to the maximum prices set by the government for products.
A. Price Controls
B. Price Floor
C. Price Ceiling
D. None of the above
This happens when the government imposed a price ceiling.
A. Equilibrium
B. Shortage
C. Surplus
D. None of the above
This happens when the price is not allowed to increase.
A. The decrease in quantity demanded
B. Increase in quantity supplied
C. The new equilibrium price is formed
D. None of the above
This is where the price ceiling located in the graph.
A. Above equilibrium point
B. Below equilibrium point
C. Parallel to the equilibrium point
D. None of the above
It refers to the legal minimum prices set for specified goods and services.
A. Price Controls
B. Price Floor
C. Price Ceiling
D. None of the above
It is a common example of a price floor.
A. Minimum wage
B. Sale and promotion
C. Discounts
D. None of the above
A price floor is necessary to implement during this market condition.
A. Equilibrium
B. Shortage
C. Surplus
D. None of the above
This is where the price floor located in the graph.
A. Above equilibrium point
B. Below equilibrium point
C. Parallel to the equilibrium point
D. None of the above
This happens when the price is allowed to increase.
A. Surplus
B. Equilibrium
C. Shortage
D. None of the above
it measures the responsiveness of buyers and sellers on the changes in the market conditions.
A. Elastic
B. Inelastic
C. Elasticity
D. Inelasticity
A measure of the extent to which the quantity demanded of a good change when the price of the good changes.
A. Income Elasticity of Demand
B. Price Elasticity of Demand
C. Cross Elasticity of Demand
D. None of the above
The change in a factor which leads to a greater change in quantity demanded or supplied
A. Elastic
B. Inelastic
C. Unitary Elastic
D. None of the above
It measures how the quantity demanded changes as consumer’s income changes.
A. Cross Elasticity of Demand
B. Budget Elasticity of Demand
C. Income Elasticity of Demand
D. Price Elasticity of Demand
It measures how the quantity demanded changes as the price of related good changes.
A. Cross Elasticity of Demand
B. Product Elasticity of Demand
C. Cost Elasticity of Demand
D. Price Elasticity of Demand
It refers to the competitive environment in which buyers and sellers operate.
A. Market Structure
B. Competition
C. Perfect Competition
D. None of the above
It is the rivalry between companies selling similar products and services to revenue, profit, and market share growth.
A. Perfect Competition
B. Market Structure
C. Competition
D. None of the above
It is a type of market structure in which products are categorized as homogeneous.
A. Competition
B. Market Structure
C. Perfect Competition
D. None of the above
The price taker in perfect competition.
A. Seller
B. Buyer
C. Market demand and supply
D. None of the above
A price maker in the perfect competition.
A. Seller
B. Buyer
C. Market demand and supply
D. None of the above
Monopolistic competition occurs when an industry has many firms offering products that are similar but not identical.
A. The statement is correct.
B. The statement is wrong.
C. The statement is sometimes correct.
D. The statement is sometimes wrong.
Monopolistic competition is a combination of the characteristics of ____.
A. oligopoly and perfect competition
B. perfect competition and monopoly
C. monopoly and oligopoly
D. none of the above
The kind of products offered in a monopolistic competition.
A. homogenous
B. differentiated
C. identical
D. none of the above
A market structure with a small number of large firms.
A. Monopoly
B. Oligopoly
C. Monopolistic Competition
D. Perfect Competition
A market structure where a specific person or enterprise is the only supplier of a particular good.
A. Monopoly
B. Oligopoly
C. Monopolistic Competition
D. Perfect Competition
It is characterized by the profit maximizer, price maker, high barriers to entry, single seller, and price discrimination.
A. Monopoly
B. Oligopoly
C. Monopolistic Competition
D. Perfect Competition
A market structure where collusion exists.
A. Monopoly
B. Oligopoly
C. Monopolistic Competition
D. Perfect Competition
It refers to a non-competitive, secret, and sometimes illegal agreement between rivals which attempts to disrupt the market's equilibrium.
A. merger
B. subsidiary
C. collusion
D. none of the above
. It is the value of a country's currency against the currency of other countries or economic zone.
A. Foreign Exchange Rate
B. Exchange Rate
C. Currency Trading
D. Currency Exchange
It is the International Organization for Standardization (ISO) Currency Code for Philippine Peso.
A. PHP
B. PHD
C. PLP
D. ₱
It is the most convertible foreign currency in the Philippines.
A. China Yuan
B. Hong Kong Dollar
C. Japanese Yen
D. US Dollar
It is an increase in the value of one currency about other currencies.
A. Currency evaluation
B. Currency devaluation
C. Currency appreciation
D. Currency depreciation
This is evident that the Philippines has a stronger currency.
A. PHP 55/1 USD
B. PHP 56/1 USD
C. PHP 57/1 USD
D. PHP 58/1 USD
It refers to setting aside the money you don’t spend now for emergencies or a future purchase.
A. Investment
B. Saving
C. Insurance
D. All of the above
It refers to buying assets such as stocks, bonds, mutual funds or real estate that is expected to grow in the future.
A. Investment
B. Saving
C. Insurance
D. All of the above
The levels of investment are affected by ____________.
A. Interest rates
B. Confidence
C. Economic growth
D. All of the above
The levels of savings are influenced by ____________.
A. Interest rates
B. Confidence
C. All of the above
D. None of the above
In neoclassical economics, it is assumed that the level of saving is equal to the level of investment.
A. The statement is correct.
B. The statement is incorrect.
C. The statement is sometimes correct.
D. None of the above
The system of compulsory contributions levied by the government or other qualified bodies on people, corporations, and property to fund public expenditures.
A. Public Fund
B. Fees
C. Pork Barrel
D. Taxation
This government policy aims to raise funds to finance public expenditures.
A. Monetary Policy
B. Fiscal Policy
C. One-Child Policy
D. Bayanihan Act
A government agency mandated to comprehend the assessment and collection of all national internal revenue taxes, fees, and charges to promote a sustainable economic growth.
A. Department of Finance
B. Bureau of Treasury
C. Bureau of Internal Revenue
D. None of the above
Taxation can have an impact on many aspects of the economy, EXCEPT
A. labor supply
B. economic growth
C. inflation
D. none of the above
A tax that is demanded by a person who shoulders the burden of the tax.
A. direct tax
B. indirect tax
C. business tax
D. none of the above
