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Scarcity & Opportunity Cost Worksheet

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

What is the gap between limited resources and unlimited wants and needs?

a)

Opportunity cost

b)

Scarcity

c)

Economy

d)

Trade-off

2.

What term refers to the essential requirements for human life?

a)

Desire

b)

Need

c)

Compensation

d)

Opportunity cost

3.

What concept involves sacrificing one option for another?

a)

Need

b)

Trade-off

c)

Scarcity

d)

Economy

4.

What is the term for the study of how people use resources?

a)

Economics

b)

Scarcity

c)

Trade-off

d)

Need

5.

What is one reason why economics is important according to the text?

a)

It helps you make uninformed decisions.

b)

It helps you understand the difference between a need and a want.

c)

It makes you suspicious of everything.

d)

It decreases your standard of living.

6.

Which of the following is considered a "want"?

a)

Shelter

b)

Food

c)

Latest iPhone

d)

Clean water

7.

Which of the following is a service?

a)

Gasoline

b)

Dentist

c)

Furniture

d)

Hulu

8.

What is the theoretical aspect of scarcity?

a)

Limited resources

b)

Unlimited needs and wants

c)

Surplus of goods

d)

Equitable distribution

9.

Which group is NOT mentioned as affected by the shortage?

a)

Individuals

b)

Families

c)

Animals

d)

Nations

10.

What sometimes prevents scarcity?

a)

Equality of opportunities

b)

Enough for everyone

c)

Unlimited production

d)

Constant growth

11.

What is the opportunity cost of going out with friends instead of studying?

a)

The fun you have

b)

The time spent with friends

c)

The study time you give up

d)

The relaxation you gain

12.

Why is it important to consider opportunity cost in financial decisions?

a)

To maximize spending

b)

To ensure decisions align with personal values

c)

To minimize savings

d)

To increase debt

13.

When developing the economic plan, each country must ask itself three basic economic questions to determine what type of economic system it will have.

a)

What to produce, how to produce, who will consume the goods and services produced.

b)

What to consume, how to consume, for whom to consume.

c)

How to educate, whom to educate, when to educate.

d)

When to buy, where to buy, why to buy.

14.

Why do most people work?

a)

They want to live in big cities.

b)

They want to earn money and provide themselves with food, clothing, and housing.

c)

They want to travel by bus or train.

d)

They want to dress in fancy clothes every day.

15.

The amount of money a business has left after paying all costs such as labor, rent, and utilities is known as?

a)

price

b)

competition

c)

supply

d)

profit