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Unit 1 Econ

Total questions: 15

Worksheet time: 17mins

Name
Class
Date
1.

A company can use its current resources to produce hats and boots as shown in this production possibilities curve. Which of the following represents a movement from inefficiency to efficiency in this PPC?

a)

From T to S

b)

From V to T

c)

From S to V

d)

From S to R

e)

From S to U

2.

The graph represents a change in the production possibilities of the nation of Xam. Which of the following statements about the economic growth in the PPC is true?

a)

Xam now has more resources or technology to produce more fruit smoothies, but not fast cars

b)

Xam now has more resources or technology available to produce more fast cars, but not fruit smoothies

c)

Xam's resources or technology have not changed

d)

Xam now has more resources or technology available that can produce either fast cars or fruit smoothies

e)

Xam has fewer resources or technology to produce fruit smoothies and fast cars

3.

The figure illustrates the production possibilities curve for a restaurants making kolaches and bowls of queso. Given the PPC shown, which of the following represents a movement from efficiency to inefficiency?

a)

From G to H

b)

From H to F

c)

From G to F

d)

From G to I

e)

From J to G

4.

These are the things we desire to have.

a)

Wants

b)

Goals

c)

Opportunity Costs

5.

What is it called if we ran out of coffee creamer?

a)

Scarcity

b)

Opportunity Cost

c)

Producer

d)

Services

6.

A trade-off is

a)

a purchase in a marketplace.

b)

an alternative that we sacrifice when we make a decision.

c)

any good or service a consumer needs.

d)

a factor of production.

7.

Which of these terms is the BEST synonym for the word "entrepreneur"?

a)

"business owner"

b)

"home owner"

c)

"employee"

d)

"student"

8.

Which of these examples is a service?

a)

Mr. Farr sells guitars.

b)

Mr. Swenson gives art supplies to consumers.

c)

Coach provides lessons for different sports.

d)

Ms. Miller writes books.

9.
Tools we use to make products
a)
capital resources
b)
human resources
c)
natural resources
d)
entrepreneurs
10.

Alex is studying for his math quiz, but his favorite TV show just started. If he studies for the quiz, he will miss out on watching the show. Alex decides not to watch the show and continue studying for the quiz. What is the opportunity cost of his decision?

a)

studying for a quiz

b)

watching TV

c)

eating dinner

d)

taking a nap

11.

True or False: All choices require giving up something else.

a)

True

b)

False

12.
What is an economic system where only the government makes the economic decisions? 
a)
traditional economy
b)
free enterprise 
c)
mixed economy
d)
command economy
13.

Land includes...

a)

The "gifts of nature" or natural resources not created by human effort.

b)

the tools, equipment, and factories used in production of goods and services

c)

people with all their efforts and abilities

d)

individuals who start a new business or bring a product to market.

14.

Capital refers to...

a)

The "gifts of nature" or natural resources not created by human effort.

b)

people with all their efforts and abilities

c)

the tools, equipment, and factories used in production of goods and services

d)

individuals who start a new business or bring a product to market.

15.
The definition of Scarcity is...
a)
An unlimited amount of resources to meet limited wants and needs
b)
A limited amount of resources to meet unlimited wants and needs.
c)
When people use time and energy to create events
d)
a city where individuals commit themselves to unlimited wants and needs