WorksheetsEconomics Unit 1-2 review
Total questions: 60
Worksheet time: 31mins
Name
Class
Date
1.
Whats a want?
a)
expensive shoes
b)
shelter
c)
food
d)
water
2.
Whats a need?
a)
pet
b)
food/water
c)
toys
d)
newest electronics
3.
Which of these are not part of the 4 Factors of Production?
a)
Land
b)
Labor
c)
Capital
d)
Money
4.
What is Trade-Off?
a)
Losing the opportunity's that came with a different choices
b)
Gaining the opportunity's of all choices
c)
Losing the opportunity's that came with all choices
5.
What are the 4 Factors of Production?
a)
Land
Labor
Money
Entrepreneurship
b)
Land
Labor
Capital
Entrepreneurship
6.
Which is not part of the 3 economic questions?
a)
What goods and services are being produced?
b)
Who is receiving these goods and services?
c)
The effect of goods and services that were produced?
d)
How is the goods and services being produced?
7.
What is a Monopoly?
a)
Few competitors
b)
Many competitors
c)
No competitors
8.
What is Oligopoly?
a)
Many competitors
b)
Few competitors
c)
No competitors
9.
What is Sherman Anti-Trust Act?
a)
A regulation that encourages fair competition among companies
b)
An international trade agreement
c)
A law that promotes monopolies in the market
d)
A federal statute passed in 1890 that prohibits monopolies or unreasonable combinations of companies that restrict competition.
10.
What is a Cartel?
a)
A cartel is a group of independent market participants who collude with each other in order to improve their profits and dominate the market.
b)
A cartel is a type of clothing accessory
c)
A cartel is a type of musical instrument
d)
A cartel is a type of vehicle used for transportation
11.
What is a shortage?
a)
A shortage is when supply exceeds demand.
b)
A shortage is when there is an equal balance between supply and demand.
c)
A shortage is when demand decreases.
d)
A shortage is when there is excess supply.
e)
A shortage is when demand exceeds supply.
12.
What is surplus?
a)
The total amount of resources
b)
The exact amount required
c)
The amount that is lacking
d)
The amount needed to meet requirements
e)
Excess amount left over when requirements have been met.
13.
True or False: Vertical integration is when a company controls multiple stages of the supply chain.
a)
False
b)
True
14.
True or False: Horizontal Integration is a strategy where a company expands its business by acquiring companies in different industries.
a)
False
b)
True
15.
What is Forward Integration?
a)
Forward Integration refers to a company downsizing its operations.
b)
Forward Integration involves a company expanding its operations towards suppliers.
c)
Forward Integration is when a company reduces its operations towards the end customer.
d)
Forward Integration refers to a company expanding its operations towards the end customer.
16.
What is market concentration?
a)
Market concentration is the dispersion of a large number of firms in a particular market or industry.
b)
Market concentration is the process of merging multiple markets into one.
c)
Market concentration is the equal distribution of market share among all firms in an industry.
d)
Market concentration is the dominance of a small number of firms in a particular market or industry.
17.
What is Perfect Competition?
a)
Perfect competition is a market structure where there are high barriers to entry
b)
Perfect competition is a market structure where many firms sell identical products, there are no barriers to entry or exit, all firms are price takers, and there is perfect information.
c)
Perfect competition is a market structure where only one firm sells products
d)
Perfect competition is a market structure where firms have control over prices
18.
What is Equilibrium Point
a)
Equilibrium point is where demand exceeds supply.
b)
Equilibrium point is where supply equals demand.
c)
Equilibrium point is where supply is greater than demand.
19.
What is a Mixed Economy?
a)
A mixed economy combines elements of both capitalism and socialism.
b)
A mixed economy is solely based on capitalism.
c)
A mixed economy is solely based on socialism.
d)
A mixed economy is a type of dictatorship.
e)
A mixed economy is a form of anarchy.
20.
What is a Incentive?
a)
A deterrent
b)
A disincentive
c)
A motivating or rewarding factor
d)
A punishment
21.
What is Elasticity of Demand?
a)
Elasticity of Demand is a measure of how much the quantity demanded of a good changes in response to a change in weather.
b)
Elasticity of Demand is a measure of how much the quantity demanded of a good changes in response to a change in price.
c)
Elasticity of Demand is a measure of how much the quantity demanded of a good changes in response to a change in income.
d)
Elasticity of Demand is a measure of how much the quantity demanded of a good changes in response to a change in quality.
22.
What is the study of economics?
a)
Economics is the study of how individuals, businesses, and governments allocate resources to satisfy their needs and wants.
b)
Economics is the study of how individuals, businesses, and governments spend money.
c)
Economics is the study of how individuals, businesses, and governments manage their social media accounts.
d)
Economics is the study of how individuals, businesses, and governments design buildings.
23.
What is a Market Economy?
a)
A market economy is an economic system where supply and demand have no influence on decision-making.
b)
A market economy is an economic system where decisions regarding investment, production, and distribution are based on supply and demand, and prices of goods and services are determined in a free price system.
c)
A market economy is an economic system where prices are fixed by a central authority.
d)
A market economy is an economic system where the government controls all aspects of production and distribution.
24.
Which is false about the law of demand?
a)
Demand decreases as price decreases
b)
Demand increases as price increases
c)
Demand remains constant regardless of price changes
d)
Demand is inversely related to price
25.
Which is false about the law of supply?
a)
As the price of a good decreases, the quantity supplied decreases
b)
Supply is determined by the demand for a good
c)
Supply curves are typically upward sloping
d)
As the price of a good increases, the quantity supplied increases
26.
Employment rate % at "full employment"
a)
90-91%
b)
98-99%
c)
95-96%
d)
85-86%
e)
88-89%
27.
What is Cyclical employment?
a)
Permanent employment with fixed working hours
b)
Fluctuation in job opportunities and employment levels due to changes in the business cycle.
c)
Seasonal employment with consistent job opportunities
d)
Stable employment with no fluctuations
28.
Lagging or Leading indicators: GDP
a)
Leading
b)
Lagging
29.
What is GDP?
a)
GDP is the total population of a country
b)
GDP is the average income of a country's citizens
c)
GDP is the total number of goods imported by a country
d)
GDP is the total monetary value of all finished goods and services produced within a country's borders in a specific time period.
30.
Lagging or Leading indicators: Interest Rates
a)
Leading indicators
b)
Lagging indicators
31.
Lagging or Leading indicators: Stock Market
a)
Lagging indicators
b)
Leading indicators
32.
What is a Stock?
a)
A stock is a type of soup commonly served in restaurants.
b)
A stock is a type of security that signifies ownership in a corporation and represents a claim on part of the corporation's assets and earnings.
c)
A stock is a type of musical instrument.
d)
A stock is a type of weather phenomenon.
33.
What is Interests Rates?
a)
Interest rates are the cost of borrowing money or the return on investment.
b)
Interest rates are the cost of saving money.
c)
Interest rates are the cost of lending money.
d)
Interest rates are the cost of borrowing goods.
34.
Lagging or Leading indicators: Income and Wages
a)
Lagging indicators
b)
Leading indicators
35.
What are Capital Gains?
a)
Capital gains are the profits realized from the sale of assets such as stocks, bonds, real estate, or other investments.
b)
Capital gains are related to income tax deductions
c)
Capital gains are profits from the sale of services
d)
Capital gains are losses incurred from the sale of assets
36.
What is Dividends?
a)
Dividends are expenses incurred by a corporation.
b)
Dividends are taxes paid by shareholders.
c)
Dividends are payments made by a corporation to its shareholders.
d)
Dividends are interest payments made by a corporation.
37.
What is Tight Money?
a)
Tight money is a policy that involves lowering interest rates to boost inflation.
b)
Tight money is a policy that increases money supply to stimulate economic growth.
c)
Tight money is a monetary policy that involves higher interest rates and reduced money supply to curb inflation and slow down economic growth.
d)
Tight money is a policy that has no impact on inflation or economic growth.
38.
What is a traditional economy?
a)
A traditional economy is an economic system based on customs, traditions, and beliefs.
b)
A traditional economy is solely driven by market forces and competition.
c)
A traditional economy relies heavily on government intervention and control.
d)
A traditional economy is based on modern technologies and innovations.
39.
What is a conglomerate?
a)
A single company operating in one specific industry.
b)
A type of rock formation found in mountain ranges.
c)
A government agency responsible for regulating industries.
d)
A corporation made up of several different companies in diversified industries.
40.
Difference between preferred stock and common stock?
a)
Preferred stock has no liquidation preference, while common stock has priority over preferred stock.
b)
Preferred stock has voting rights, while common stock does not.
c)
Preferred stock pays fixed dividends and has priority over common stock, while common stock represents ownership in a company.
d)
Preferred stock represents ownership in a company, while common stock pays fixed dividends.
41.
What is the law of diminishing returns?
a)
The law of diminishing returns is the point at which the marginal increase in output decreases as one input variable is increased, assuming all other inputs are constant.
b)
The law of constant returns is the point at which the marginal increase in output remains constant as one input variable is increased, assuming all other inputs are constant.
c)
The law of accelerating returns is the point at which the marginal increase in output accelerates as one input variable is increased, assuming all other inputs are constant.
d)
The law of increasing returns is the point at which the marginal increase in output increases as one input variable is increased, assuming all other inputs are constant.
42.
What is the stock index?
a)
A stock index is a type of commodity
b)
A stock index is a measurement of a section of the stock market.
c)
A stock index is a type of currency
d)
A stock index is a type of bond
43.
What is Fiscal policy?
a)
Fiscal policy is the government's use of monetary policy to influence the economy.
b)
Fiscal policy is the government's use of regulations to influence the economy.
c)
Fiscal policy is the government's use of taxation and spending to influence the economy.
d)
Fiscal policy is the government's use of foreign aid to influence the economy.
44.
What is Monetary policy?
a)
Monetary policy is the regulation of the stock market
b)
Monetary policy is the management of foreign exchange rates
c)
Monetary policy is the control of inflation through fiscal measures
d)
Monetary policy is the actions taken by a central bank to control the money supply and achieve macroeconomic goals.
45.
A (a) policy is a monetary policy that aims to reduce the money supply in the economy.
46.
What is Expansionary policy?
a)
Expansionary policy is a policy that aims to decrease the money supply.
b)
Expansionary policy is a policy that aims to reduce government spending.
c)
Expansionary policy is a policy that aims to stimulate economic growth.
d)
Expansionary policy is a policy that aims to increase unemployment.
47.
True of False: Medicare is a federal health insurance program.
a)
False
b)
True
48.
True or False: Medicaid is a government program that provides health coverage to low-income individuals and families.
a)
False
b)
True
49.
True or False: Social Security is a private insurance program for wealthy individuals.
a)
False
b)
True
50.
What is income tax?
a)
A tax imposed on the number of children in a household
b)
A tax imposed on individuals or entities that varies with the income or profits of the taxpayer.
c)
A tax imposed on the weight of goods transported
d)
A tax imposed on goods purchased by individuals
51.
What do FDIC stand for?
a)
Financial Deposit Insurance Corporation
b)
Federal Department of Insurance and Commerce
c)
Fiscal Deposit Insurance Corporation
d)
Federal Deposit Insurance Corporation
52.
What do SEC stand for?
a)
Securities and Exchange Council
b)
Stocks and Exchange Commission
c)
Securities and Equity Commission
d)
Securities and Exchange Commission
53.
What is Trademark?
a)
A trademark is a type of patent
b)
A trademark is a recognizable sign, design, or expression which identifies products or services of a particular source from those of others.
c)
A trademark is a form of currency
d)
A trademark is a musical instrument
54.
what is a patent?
a)
A patent is a type of fruit
b)
A patent is a type of clothing
c)
A patent is a type of currency
d)
A patent is a form of intellectual property that gives its owner the legal right to exclude others from making, using, selling, and importing an invention for a limited period of time, usually 20 years.
55.
What do copyright protect?
a)
Original works of authorship
b)
Trade secrets
c)
Trademarks
d)
Patents
56.
What is absolute advantage?
a)
Absolute advantage is the ability to produce a good or service using fewer resources than another producer.
b)
Absolute advantage is the ability to produce a good or service using more resources than another producer.
c)
Absolute advantage is the ability to produce a good or service using the same amount of resources as another producer.
d)
Absolute advantage is the ability to produce a good or service using different resources than another producer.
57.
What is comparative advantage?
a)
Comparative advantage is the ability to produce a good or service at the same opportunity cost as others.
b)
Comparative advantage is the ability to produce a good or service without considering opportunity costs.
c)
Comparative advantage is the ability to produce a good or service at a lower opportunity cost than others.
d)
Comparative advantage is the ability to produce a good or service at a higher opportunity cost than others.
58.
What is Discretionary spending?
a)
Discretionary spending is the part of the budget that must be spent on essential items.
b)
Discretionary spending is the portion of the budget that is fixed and cannot be adjusted.
c)
Discretionary spending is the part of the budget that is allocated for emergency situations only.
d)
Discretionary spending is the portion of the budget that is not mandatory and can be adjusted or eliminated.
59.
what is state income tax?
a)
State income tax is a tax levied by businesses on income earned by residents within their jurisdiction.
b)
State income tax is a tax levied by individual states on income earned by residents within their jurisdiction.
c)
State income tax is a tax levied by cities on income earned by residents within their jurisdiction.
d)
State income tax is a federal tax on income earned by residents within their jurisdiction.
60.
What is mandatory spending?
a)
Government expenditures that are flexible and can be adjusted annually
b)
Spending that is voluntary and not mandated by law
c)
Funds allocated for emergency situations only
d)
Government expenditures required by law and not subject to the annual budget process.
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