WorksheetsYear 10 Economics Unit 1
Total questions: 27
Worksheet time: 14mins
In Economics, what is an interest rate?
The amount a borrower charges a lender.
The total cost of a loan including fees.
The amount a lender charges a borrower.
A government-set percentage on all financial transactions.
According to Economics, an interest rate can also apply to:
The fees charged for bank services.
The amount earned at a bank or credit union from a savings account.
Government taxes on financial transactions.
The price of stocks and shares.
When writing an extended response in Economics. What is the first step mentioned before you begin writing?
Analyse the data accurately.
Interpret the data correctly.
Read the question accurately.
Create a detailed plan.
"Economic Systems", an economy that relies on customs and history is likely a:
Command economy.
Free market economy.
Traditional economy.
Mixed market economy.
"Economic Systems", in a free market economy - how are prices typically determined?
By the government.
Based on long-standing traditions.
Through negotiation between buyers and sellers.
Price mechanism system (i.e. supply and demand).
"Economic Systems" indicates that in a command economy, who decides on all economic activities?
Private businesses.
Consumers.
Government.
Local councils.
"Economic Systems", what is highlighted as the biggest difference between the 4 types of economies?
The level of technological advancement.
The amount of international trade.
The size of the population.
The amount of government intervention.
According to the "Five Sector Circular Flow" , "Four Sector Circular Flow" and "Three Sector Circular Flow", which of the following is an example of government spending (G)?
Goods and services tax.
Personal income tax.
Healthcare.
Savings.
"Five Sector Circular Flow" , "Four Sector Circular Flow" and "Three Sector Circular Flow", which of the following is an example of taxation (T)?
Defence
Investment
Goods and services tax
Exports
"Five Sector Circular Flow" , "Four Sector Circular Flow" , and the "Three Sector Circular Flow", taxation is classified as a:
Injection
Flow
Leakage
Expenditure
"Five Sector Circular Flow", "Four Sector Circular Flow," and "Three Sector Circular Flow", government spending is classified as a:
Leakage.
Saving.
Injection.
Import.
"Five Sector Circular Flow", "Four Sector Circular Flow,"and"Three Sector Circular Flow", imports (M) are classified as a:
Injection
Investment
Leakage
Export
"Five Sector Circular Flow", "Four Sector Circular Flow,"and "Three Sector Circular Flow", exports (X) are classified as a:
Leakage
Saving
Taxation
Injection
"Five Sector Circular Flow" , "Four Sector Circular Flow," and "Three Sector Circular Flow", if the RBA increases the cash rate, which of the following is LEAST likely to occur?
Household spending will decrease.
Business investment will decrease.
Overall demand will decrease.
Interest rates set by banks will decrease.
"Three Sector Circular Flow" and the "3 sector model", the interest rate is the amount:
The government charges on taxes.
A borrower earns on investments.
A lender charges a borrower.
A bank pays to its employees.
"Three Sector Circular Flow" and the "3 sector model", the interest rate can also apply to the amount:
Businesses charge for goods and services.
The government spends on infrastructure.
Consumers spend on retail goods.
Earned at a bank or credit union from a savings account.
"Two Sector Circular Flow" the two-sector circular flow model includes which of the following?
Households, Businesses, and the Financial Sector.
Households, Businesses, the Government Sector, and the Financial Sector.
Households and Businesses.
Households, Businesses, and the Overseas Sector.
"Two Sector Circular Flow"- Demand", a substitute product is one that consumers see as:
A) Necessary and unaffordable.
B) Complementary to another product.
C) Essentially the same or similar enough to another product.
D) More expensive than another product.
According to the "Two Sector Circular Flow - Supply", a change in quantity supplied refers to:
A) A shift in the supply curve due to changes in technology.
B) A shift in the supply curve due to changes in government regulations.
C) A movement along a supply curve that is caused by a change in price.
D) A shift in the supply curve due to changes in production costs.
Scarcity arises from:
Unlimited resources and limited wants.
Limited wants and limited choices.
Unlimited wants and limited resources.
Unlimited resources and unlimited wants.
Due to scarcity, all economies must address which key question?
When to produce?
Where to produce?
What to produce?
Why to produce?
A point inside the Production Possibilities Frontier (PPF) indicates:
Maximum efficiency in production.
Inefficient use of resources.
An unattainable production level.
An increase in production capacity.
A point outside the Production Possibilities Frontier (PPF) indicates:
Maximum efficiency in production.
Efficient use of resources.
An unattainable production level at the current time.
Under-utilised resources.
Opportunity cost in the context of a PPF is best described as:
The total cost of producing a certain quantity of goods.
The amount of money spent on resources.
The amount of one good that must be sacrificed to produce more of another.
The point of maximum efficiency on the curve.
An introduction of improved harvesting technology that reduces wasted wheat grains would likely cause the Production Possibilities Curve to shift:
Inward for both wheat and cotton.
Outward, particularly for wheat.
Outward for cotton only.
To become steeper.
The 3-sector circular flow model includes:
A) Households and Businesses.
B) Households, Businesses, and the Government Sector.
C) Households, Businesses, and the Financial Sector.
D) Households, Businesses, the Government Sector, the Financial Sector, and the Overseas Sector.
Households and Businesses
Households, Businesses, and the Government Sector
Households, Businesses, and the Financial Sector
Households, Businesses, the Government Sector, the Financial Sector, and the Overseas Sector
In the "Three Sector Circular Flow", savings by households are considered a:
A) Injection into the circular flow.
B) Form of expenditure.
C) Leakage from the circular flow.
D) Factor of production.
