WorksheetsEconomics Test
Total questions: 22
Worksheet time: 11mins
Why is a profit motive important in many economies?
people would not use coupons without it
businesses could not advertise without it
businesses could not set prices without it
people would not start businesses without it
Which word is "raw materials needed to produce growth"?
capital
labor
natural resources
financial capital
Which word is "money that a business uses to buy the items needed for the business to function"?
capital
natural resources
labor
financial capital
Which word is "human time, effort, skills, and talent needed to produce goods"?
labor
capital
natural resources
financial capital
Which word is "items such as tools, machines, factories, and office equipment needed for a business to function"?
financial capital
capital
labor
natural resources
Which of the following scenarios accurately illustrates the concept of economic interdependence?
an entrepreneur decides to open a bakery and produces bread for his neighborhood
good rainfall allows a farmer to produce more strawberries and he chooses to expand his business
Japan lacks iron to make steel, so Japan enters into a trading relationship with Australia and Brazil, who supply Japan with iron ore
South Africa is rich in diamonds, gold, and mineral resources, so South Africa creates a mining industry that produces much wealth
Which country has a capitalist economy?
China
Sweden
Taiwan
Which country has a communist economy?
Taiwan
Sweden
China
Which country has a socialist economy?
Sweden
Taiwan
China
Why must governments ensure that corporate taxes are not too high?
public services will suffer
businesses will not make a profit
the government cannot invest in education
the government cannot invest in national defense
Which type of industry has "a farmer selling milk produced from dairy cows"?
primary
secondary
tertiary
quarternary
Which type of industry has "cheese makers using milk from dairy cows to produce cheese"?
primary
secondary
tertiary
quarternary
Which type of industry has "a grocer selling cheese in a market"?
primary
secondary
tertiary
quarternary
Which type of industry has "inspectors examining the quality of cheese"?
primary
secondary
tertiary
quarternary
Which investment would fall on the upper right portion of the graph?
stocks
savings accounts
certificates of deposit
How can customers feel certain that their money stored in US banks is safe?
money deposits are insured
many banks have armed guards
most banks have good security systems
it is very difficult to steal money from banks
Why might a person who plans to buy a car in nine months choose to invest in a certificate of deposit (CD)?
CDs offer a better rate of return than stocks
CDs offer a better interest rate than savings accounts
customers can cash their CD at any time when they find a good car deal
customers can withdraw their money from a CD at any time without a penalty
Which of the following has helped increase globalization? (3)
telecommunications
trade embargoes
the Internet
warfare
airplanes
Which country did the US have a trade embargo against starting in the early 1960s?
Japan
Mexico
Ecuador
Cuba
Which organization works with nations to decrease embargoes, taxes, and quotas?
International Monetary Fund
World Bank
World Trade Organization
Which organization provides loans for large projects, like building schools, in developing countries?
World Bank
International Monetary Fund
World Trade Organization
Which organization offers emergency loans to countries with unstable economies?
International Monetary Fund
World Bank
World Trade Organization
