WorksheetsEconomics 10th grade
Total questions: 100
Worksheet time: 25hrs 0mins
Which of the following best describes wants?
limited and ever changing
unlimited and ever changing
limited and never changing
unlimited and never changing
Into what four categories do economist divide factors of production
land, labor, capital, and entrepreneurship
land, labor, money, and entrepreneurship
resources, labor, capital, entrepreneurship
resources, labor, money, and entrepreneurship
What does the saying "There is no such thing as a free lunch" mean?
some things cost nothing
most things cost nothing
most things cost something
everything costs something
Which of the following involves using resources to produce the maximum amount of goods and services?
utilization
underutilization
efficiency
overefficiency
Which of the following would macroeconomics study?
a general rise in prices
a decline in coffee prices
the success rate of sandwich shops
the work habits of students
Who wrote The Wealth of Nations?
Alexander Hamilton
Thomas Malthus
Karl Marx
Adam Smith
A person who makes goods or provides services is called a?
consumer
customer
provider
producer
An example of underutilization is producing?
as many muffins and widescreen televisions as the economy is capable of making
fewer muffins and widescreen televisions than the economy is capable of making
more muffins and fewer widescreen televisions
fewer muffins and more widescreen televisions
A microeconomist would study?
a general decline in prices
a rise in tea prices
the ups and downs of business cycle
the impact of national tax policies
Adam Smith argued that a nation would be wealthier if it engaged in?
mercantilism
free trade
state-controlled mercantilism
state-controlled trade
The way a society uses scarce resources to satisfy its people's unlimited wants is called an economic?
system
utility
incentive
grid
Absolute loyalty to the people in the power is required by a?
traditional system
socialist system
authoritarian system
market system
Between 1867 and 1894, Karl Marx published a 3-volume study called?
The Communist Manifesto
Capital
The Wealth of Nations
Laissez Faire
The government owns some, but not all, factors of production in a?
authoritarian system
communist system
pure market system
socialist system
With voluntary exchange, a buyer and seller agree to do business together?
only for the benefit of the seller
only for the benefit of the buyer
for the mutual benefit of both
for the benefit of neither
In a market economy, the real power in the market place is held by the
producer
seller
government
consumer
A circular flower model shows how?
all interactions occur in a market economy
some interactions occur in a market economy
all interactions occur in a traditional economy
some interactions occur in a traditional economy
An advantage of a pure market economy is that it?
has mechanisms for providing public goods
allows local communities to set their own economic development
provides security to those who are not economically productive
prevents unequal distribution of wealth
Global financial transactions have been made quick, inexpensive, and easy by?
computer linkages
telegraph linkages
shipping linkages
radio linkages
The situation where women tend crops and raise children while men hunt is often found in a?
mixed economy
market economy
command economy
traditional economy
Profit is determined by subtracting the costs of?
marketing a product from the revenue gained by selling it
producing a product from the revenue gained by marketing it
producing a produce from the revenue gained by selling it
selling a product from the revenue gained by producing it
In a circular flow model of a modified free enterprise system, the government is typically placed?
in the center
on the left side
on the right side
at the top
In the marketplace, producer are looking to?
buy goods for personal use
earn a profit
find incentives
find the latest fad
Producers determine the allocation of scarce resources by seeking?
incentives and responding to consumer votes on a product
incentives and responding to all open opportunites
profits and responding to consumer votes on a product
profits and responding to all open opportunity
The money left after production costs are subtracted from revenue is called?
free rider
profit
subsidy
scarcity
A person who does not pay for a service by benefits from it is called a?
free consumer
free rider
investment risk
subsidy risk
An externality is a side effect of a transaction that affects?
both the producer and the buyer
someone other than the buyer and producer
the buyer but not the producer
the producer but not the buyer
Government programs that protect people from economic hardship are called a?
free rider
positive externality
public safety net
public subsidy
A person who chooses to, and is free to, open a grocery store is participating in a?
command economy
centrally-planned economy
free enterprise economy
traditional economy
A business based on a fad, such as pet rocks, is most likely to?
have fluctuating profits, marked by quick increases and decreases
have a slow, increase in profits over several years
make quick, large profits which then drop dramatically
take a sharp loss and go bankrupt within a year
Which of the following restates the law of demand?
When prices go down, demand increases; when prices go up, demand decreases.
When prices go up, demand increases; when prices go down, demand decreases
When prices go down, quantity demanded increases; when prices go up, quantity demanded decreases
When prices go up, quantity demanded increases; when prices go down, quantity demanded decreases
What is a demand curve?
a table showing how much of a product an individual is willing and able to buy
a table showing how much of a product a market is willing and able to buy
a graph showing how much of a product an individual is willing and able to buy
a graph showing how much of a product a market is willing and able to buy
If quantity demanded changes significantly when price changes, how is demand described?
elastic
inelastic
constant
inconstant
Which of the following categories is most likely to have inelastic demand?
goods that have many substitutes
goods that have many complements
goods that have no substitutes
goods that have no complements
What two factors are necessary for demand?
desire for a good or services and its availability in the market
desire for a good or services and the ability to pay for it
the availability of a good or service and the ability to pay for it
familiarity with a good or service and the desire to pay for it
What is a market demand curve?
a table showing how much of a product a market is willing and able to buy
a table showing how much of a product a market is willing and able to buy
a graph showing how much of a product an individual is willing and able to buy
a graph showing how much of a product a market is willing and able to buy
Which of the following describes a demand curve?
it is a horizontal line
it slopes downward from left to right
it slopes downward from right to left
it is bow-shaped
Which economic concept is defined as the measure of how responsive consumers are to price change?
consumer expectation
consumer taste
decreasing marginal utility
elasticity of demand
A factory closes, laying off hundreds of workers, and consumer spending in the town falls. What factor is affecting demand?
consumer expectation
consumer taste
income
substitutes
Skiers flock to a town in the Rockies in January, and restaurant business booms. What factor is affecting demand?
income
market size
consumer taste
substitutes
The desire and ability to produce and sell a product is?
demand
production
profit
supply
A supply schedule is a?
table showing how much of a product someone is willing and able to buy
graph showing how much of a product someone is willing and able to buy
table showing how much of a product someone is willing and able to sell
graph showing how much of a product someone is willing and able to sell
Supply curves are created using the assumption that all economic factors remain constant except?
demand
elasticity
price
production
What is an excise tax?
a tax on the removal of toxic material
a tax on goods that are exported to another country
a tax on the production of sale or specific goods or services
a tax on the purchase of goods or services from overseas
What is it called when government controls business behavior through rules or laws?
duty
inspection
regulation
subsidy
Elasticity of supply measures how responsive?
consumers are to price change
government is to price change
producers are to price change
workers are to price change
Which of the following examples demonstrates elastic supply?
The price of submarine sandwiches rises 50 percent, the quantity supplies by the deli rises 30 percent
Gasoline prices rise from $1,50 to $3,00 a gallon, and refineries increase production 10 percent
Nurseries cut the price of rose bushed in half, but because the bushes are two years old, supply remains fixed
A CD fails to be a hit, stores discount it by 30 percent, and the recording company lowers production by 50 percent.
What is the most common reason for supply to be inelastic?
the difficulty of changing the amount produced
the lack of competition among producers
the amount of government regulation
the lack of demand among consumers
According to the law of supply, when prices increase?
demand increases
quantity demanded increases
supply increases
quantity supplied increases
The change in total output that results from hiring one additional worker is called?
marginal cost
marginal labor
marginal product
marginal revenue
The situation in which the quantity supplied of a good at a particular price is equal to the quantity demanded at that price is called?
market equilibrium
market disequilibrium
market shortage
market surplus
The two curves of a market demand and supply graph intersect at?
one point
two points
three points
four points
The result of quantity supplied being greater than quantity demanded is called?
equilibrium
rationing
surplus
shortage
The result of the quantity demanded being greater than the quantity supplied is called?
equilibrium
rationing
surplus
shortage
The twin desires of making the highest profit and luring customers away from rival producers often results in?
competitive demands
competitive needs
competitive pricing
competitive rationing
In the price system, incentives encourage producers to act in certain ways consistent with?
the consumer's best interest
the government's best interest
their competitor's best interest
their own best interest
A price ceiling can cause?
an equilibrium
rationing
a shortage
a surplus
Minimum wage is an example of?
an equilibrium
rationing
a price ceiling
a price floor
A system in which the government allocates goods and services using factors other than price is called?
the black market
rationing
subsizing
transfer payment
The illegal buying and selling of goods in violation of price controls is called?
the black market
the equilibrium market
rationing
smuggling
An economic model that allows economists to examine competition among businesses in the same industry is called?
ideal model
market structure
imperfect competition
perfect competition
A product that consumers consider identical to other products in the same market is called a?
bargain product
monopoly product
ideal product
standardized product
A characteristic of perfect competition is when?
buyers can join with other buyers to influence prices
sellers are restricted from entering a market
no one seller or buyer has control over price
sellers offer products in the same market that are different
A business that accepts the market price set by the interaction of supply and demand is called a?
price benefactor
price competitor
price seller
price taker
A characteristic of imperfect competition is when?
sellers join together to influence prices
sellers are free to exit the market
sellers cannot join with other sellers to influence prices
sellers offer a standardized product
A market structure in which many sellers offer similar, but not standardized, products to consumers is called?
focused competition
monopolistic competition
oligopolistic competition
perfect competition
The effort to distinguished a product from similar products is called?
product competition
product differentiation
product distraction
product standardization
In a market economy with imperfect competition sellers?
are always well-informed of market conditions
never have any control over price
offer only standardized products
sometimes join with other sellers to influence prices
A monopoly that exists because a firm controls an invention is called a?
geographic monopoly
government monopoly
natural monopoly
technological monopoly
Using advertising to try to convince customers to buy one product rather than another is a form of?
antitrust competition
focus competition
monopolistic competition
nonprice competition
Which of the following are characteristics of sole proprietorships?
limited life and limited liability
limited life and unlimited liability
unlimited life and unlimited liability
unlimited life and limited liability
What is a general partnership?
a business in which one partner acts as the general manager
a business in which the partners share management and liabilities
a business in which at least one partner is not involved in management and is liable only for his or her investment
a business in which none of the partners is responsible for the debts or liabilities of the other partners
Which business is most likely to be a limited liability partnership?
a resturaunt
a clothing store
a doctor's office
a beauty salon
What is one of the biggest disadvantages of partnership?
increased liability
decreased resources
more government oversight
potential for conflict between partners
Which of the following is a major advantage of owning a franchise?
having complete control over product
being free from all oversight
selling a product that consumers know
decorating your business the way you want
What is a typical requirement of a consumer cooperative?
paying a membership fee
working without a salary
paying a licensing fee
maximizing profit
A group of city leaders to raise funds for a museum to honor the city's founder. What type of organization will they use for this purpose?
a consumer cooperative
a service cooperative
a producer cooperative
a nonprofit organization
What is the term for a business that is co-owned by two or more people who agree on how responsibilities, profits, and losses will be divided?
partnership
general partnership
limited partnership
limited liability partnership
Which of the following is a disadvantage of partnership but not of sole proprietorship?
unlimited liability
potential for conflict
limited life
much stricter regulations
What is it called when companies that produce the same product merge?
horizontal merger
vertical merger
conglomerate
multinational corporation
The price of labor is called?
costs
demands
rates
wages
The knowledge and skill that enable workers to be productive is called?
human capital
talent capital
human supply
talent supply
Unseen barriers to career advancement are called?
the crystal umbrella
the glass ceiling
the invisible roof
the transparent roof
The lowest rate legally allowed for one hour of work is called?
lowest salary
lowest wage
minimum wage
minimum salary
The practice of foreign companies establishing operations in the United States is called?
globalization
insourcing
reinvestment
telecommuting
Work that is temporary or part-time is called?
contingent employment
outsourcing employment
secondary employment
tertiary employment
The civilian labor force includes people aged 16 or older who are?
actively looking for a job
in prison
in the military
no available for work
The wage at which the number of workers needed equals the number of workers available is called?
the balanced wage
the fair wage
the equilibrium wage
the minimum wage
Wage rates are determined by?
supply and demand
the number of available jobs
the number of available workers
the unemployment rate
The practice of contracting with an outside company to provide goods or services is called?
contract sourcing
foreign sourcing
outsourcing
tertiary sourcing
For what purpose was the First Band of the United States created?
lend gold and silver to the state banks to back their currencies
promote financial policies that favored merchants over farmers
issue a national currency and take over state banks
issue a national currency, control the money supply, and lend money
From 1836 to 1863, there was no national oversight of banking. What was the result?
prosperity for people who invested in state banks
mergers between state banks
financial panics and economic instability
stricter controls of banking by states
What is the purpose of the Federal Reserve System?
to store the gold and silver reserves that back U.S. currency
to provide federal insurance to safeguard the deposits in banks
to make loans to banks, issue currency, and regulate the money supply
to deregulate banks and savings and loans institutions
The two original purposes of savings and loans were to take savings deposits and provide?
home mortgage loans
business loans
car loans
education loans
A mortgage allows a consumer to?
store money in a bank for a set number of years
purchase a house without paying the whole value up front
store important papers in a locked box in the bank's vault
buy goods with a card that immediately deducts the payment from an account
One of the economic properties of money is?
divisibility
durability
scarcity
uniformity
One of the physical properties of money is?
acceptability
portability
scarcity
stability of value
The First Bank of the United States was created by?
Alexander Hamilton
Andrea Jackson
Thomas Jefferson
James Madison
Wildcat banks were banks?
in remote areas that issued bank notes of questionable value
in frontier regions that were used mostly by trappers and traders
that tried to take the federal bank's business by issuing cheaper bank notes
that preyed on and took over smaller banks
One of the advantages of bank mergers is?
more bank branches
more choices for consumers
less bank involvement in community
competition from foreign banks
