WorksheetsEconomics Quiz
Total questions: 16
Worksheet time: 8mins
What are resources called that are scarce and require decisions on how they are used within an economy?
Natural resources
Economic resources
Human resources
Capital resources
What is geographical immobility?
When workers can easily move for work
When workers are unable to move to new locations for work
When workers frequently change jobs
When workers are highly mobile
What are "Managerial economies of scale"?
Cost savings from increased production
Benefits from greater use of division of labour and specialization
Increased costs due to larger scale operations
Reduced efficiency in large organizations
What defines a monopoly?
A market with many small firms
A single firm with over 25% market share
A market with no dominant firm
A market with only two firms
What is opportunity cost?
The cost of the next best alternative foregone
The cost of all alternatives
The cost of the chosen option
The cost of the least expensive option
What is the formula for calculating price elasticity of supply?
% change in quantity supplied / % change in price
% change in price / % change in quantity supplied
% change in demand / % change in supply
% change in supply / % change in demand
What is the term for larger firms reducing risks by selling a variety of goods or to various markets?
Risk bearing economies of scale
Purchasing economies of scale
Market diversification
Product differentiation
What is the main characteristic of a perfectly competitive market?
Firms have significant control over prices
There are many buyers and sellers with no control over prices
Firms produce differentiated products
There is only one seller in the market
What is the term for the cost advantages that a business obtains due to expansion?
Economies of scale
Diseconomies of scale
Marginal cost
Opportunity cost
What is the term for a market structure where a few firms dominate the market?
Oligopoly
Monopoly
Perfect competition
Monopolistic competition
What is the term for a market structure where many firms sell products that are similar but not identical?
Perfect competition
Monopoly
Oligopoly
Monopolistic competition
What is the term for the situation where the quantity demanded equals the quantity supplied?
Market disequilibrium
Excess supply
Market equilibrium
Excess demand
What is the term for the ability of a firm to influence the market price of its product?
Market equilibrium
Price elasticity
Market power
Price discrimination
What is the term for a situation where a firm can produce at a lower average cost as it increases its output?
Economies of scale
Decreasing returns to scale
Diseconomies of scale
Constant returns to scale
What is the term for the cost incurred when a firm increases its production capacity?
Marginal cost
Fixed cost
Variable cost
Expansion cost
What is the term for the economic principle that describes the benefit lost when one alternative is chosen over another?
Opportunity cost
Marginal benefit
Cost-benefit analysis
Comparative advantage
