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Intro to Economics & Competition in the Market

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

What term describes something that is desired but not needed?

a)

Need

b)

Scarcity

c)

Want

d)

Shortage

2.

What is it called when you choose one thing which causes you to have to give up, or sacrifice, another?

a)

Scarcity

b)

Trade-Off

c)

Want

d)

Comparative Advantage

3.

Which term describes the essential requirements for survival?

a)

Want

b)

Need

c)

Scarcity

d)

Opportunity Cost

4.

What does economics help you do in terms of decision-making?

a)

Make better informed decisions.

b)

Make impulsive decisions.

c)

Avoid making decisions.

d)

Rely solely on intuition.

5.

What is one of the benefits of understanding economics in relation to government?

a)

Understanding how the government works for and against you.

b)

Ignoring government policies.

c)

Simplifying all government actions.

d)

Distrusting all government decisions.

6.

What does scarcity force individuals and nations to decide?

a)

How to save money

b)

How to increase demand

c)

What to produce, how to produce it, and whom to produce it for

d)

How to reduce costs

7.

What does shortage of a resource mean?

a)

Permanent and natural limitation

b)

Temporary and man-made unavailability

c)

Unlimited access to resources

d)

Abundance of resources

8.

Which of the following is a characteristic of a market with fewer participants?

a)

High competition

b)

Greater control over prices

c)

Low control over prices

d)

Fixed prices

9.

How can the type of business structure affect a business?

a)

It affects the color of the business logo

b)

It affects how a business is regulated and taxed

c)

It affects the business's social media presence

d)

It affects the number of products a business can sell

10.

For a consumer, which is part of making an economic choice?

     

a)

The consumer makes goods and services to sell to others.

b)

  The consumer moves to a place that has very few businesses.

c)

The consumer purchases everything he or she needs or wants.

d)

The consumer weighs his or her needs and wants before spending money.

11.

What is the primary purpose of a business plan?

a)

To decide the office location

b)

To decorate the office

c)

To determine the color of the company logo

d)

To outline the business's goals and strategies

12.

Which of the following is an example of a durable good?

a)

Milk

b)

Fresh vegetables

c)

Smartphone

d)

Paper napkins

13.

What is the opportunity cost of attending college?

a)

The time spent studying

b)

The tuition fees paid

c)

The income foregone from not working full-time

d)

The cost of textbooks

14.

What is the primary function of a market in an economy?

a)

To create scarcity

b)

To increase government control

c)

To facilitate the exchange of goods and services

d)

To eliminate competition

15.

What is a key characteristic of a monopoly market structure?

a)

High level of competition

b)

Single seller dominates the market

c)

Multiple sellers with equal market share

d)

Free entry and exit of firms