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economics review

Total questions: 16

Worksheet time: 8mins

Name
Class
Date
1.

What the crucial problem of economics

a)

scarcity

b)

bobba

c)

money

2.

What is trade off

a)

a giving up of one thing in return for another

b)

a exchange

c)

a give down of one thing in return for another

3.

What is an opportunity cost

a)

you loss money

b)

the potential forgone profits from a missed opportunity

4.

Define demand

a)

is the difference quantities of good and services that consumers are willing and able to buy at different prices

b)

an insistent and peremptory request, made as if by right.

5.

As price fall quantity demanded Rises / as price rises quantity demanded falls

a)

law of demand

b)

law of supply

c)

netwons 3rd law

6.

 is a graph model that shows alternative ways that an economy can use its scarce resources

a)

MPC

b)

AD

c)

PPC

7.

there is a direct or positive relationship between price and quantity supplied

a)

law of supply

b)

law of economics

c)

law of aggregate demand

8.

As income increases demand falls as income falls demand increases

a)

typical good

b)

normal goods

c)

inferior goods

9.

are goods used in place of another Ex if the price of one increases the demand for the other will increased 

a)

What is a substitute

b)

bank system

c)

complement

10.

A economic model that illustrate how how money moves from producers to customers and back against in a endless lop 

a)

What is the circular flow

b)

cyclical

11.

 is the $ value of all final goods and services produced within a country in one year 

a)

GDC

b)

GDP

c)

GDS

12.

MPC + MPS=

a)

MPS

b)

MPC

c)

1

13.

What is classical economic

a)

 loanable funds theory assume that we are rational  S=I

b)

cause large changes in aggregate spending or aggregate demand (AD) 

14.

What is aggregate demand

a)

affect An initial change in spending (C,Ig,G,Xn) cause large changes in aggregate spending or aggregate demand (AD) 

b)

is all goods and services(real GDP) that buyer are willing and able to purchase at at different prices levels 

15.

whats is the goal of economics

a)

slow down the economics

b)

manipulate the money supply

c)

fix economics problems

d)

encourage investments

16.

What is the goal of monetary

a)

m

b)

m

c)

is to manipulate the money supply in order to achieve certain economics objectives

d)

m