WorksheetsMock Test – BOP
Total questions: 32
Worksheet time: 16mins
In which type of economy do prices change based on supply and demand?
Government economy
Free market economy
Mixed economy
Planned economy
Who decides what goods are made in a planned economy?
Business owners
The government
Consumers
Shopkeepers
Why do people have to make choices when buying things?
Because prices are too high
Because they don’t like shopping
Because there are limited resources and unlimited wants
Because shops are far away
What is the main goal of businesses in a free market?
Helping others
Making profit
Making laws
Protecting nature
What does the PPF (Production Possibility Frontier) show?
What a factory looks like
The best way to use resources to make two goods
Prices in the market
Jobs available in a city
Which of these is not a factor of production?
Land
Labour
Capital
Money
Why is scarcity a problem in economics?
Because people save too much
Because the resources are limited and wants are unlimited
Because People love money
Because people want all good things
What is often missing in a planned economy that can cause poor quality?
Government support
Good machines
Competition
Workers
A person who wants a job but can’t find one is called:
Retired
Lazy
Unemployed
Self-employed
The person who starts a business and brings together land, labour, and capital is an:
Manager
Leader
Entrepreneur
Teacher
In a mixed economy, what does the government mostly do?
Buys businesses
Makes profit
Offers services like schools and hospitals
Builds shopping malls
What is economics mainly about?
Studying history
Learning how people use money and resources
Exploring space
Talking about sports
What does “land” mean in economics?
Just farming land
Natural things like rivers, trees, and minerals
A house
City buildings
What is “opportunity cost”?
The total money you spend
The value of the choice you gave up
The amount you earn
The number of items you get
A company’s building is an example of:
Land
Labour
Capital
Product
A person working in a factory is an example of:
Land
Labour
Capital
Entrepreneur
A company owned by private individuals is in the:
Public sector
Private sector
Social sector
Foreign sector
What does Deflation mean in Economics?
Prices of goods and services increases
Prices are equal
Prices of goods and services decreases
Two friends starting a company
How do private businesses get money to start or grow?
Taxes
Donations
Loans and investments
Free help from government
In a mixed economy, the private sector makes profit and the public sector:
Competes with them
Also makes profit
Offers basic services like health and transport
Makes luxury items
What do people do when resources are limited?
Waste more
Buy everything
Make choices
Avoid spending
Which part of economics studies small units like families and shops?
Macroeconomics
Microeconomics
Large-scale economics
World economics
Who is called the "Father of Economics"?
Varuni Kaushal
Adiba Hurain
Adam Smith
Fatema Mustafa
GDP (Gross Domestic Product) is a part of which study?
Microeconomics
Chemistry
Macroeconomics
Sports
Which of the following is not usually provided by the government?
School
Hospital
Bus service
Sports car showroom
What are the two main branches of economics?
Finance and business
Growth and trade
Microeconomics and Macroeconomics
Taxes and income
If a country is using all its resources well, it is:
Being wasteful
On the PPF curve
Below the PPF
Not producing anything
Suppose an economy can produce either cars or computers. On the PPF, if the economy is currently producing 25 cars and 10 computers, is it operating efficiently?
Inefficient and Underutilization of resources
Most effective utilization of resources.
An unattainable Combination
None of the Above
Suppose an economy can produce either cars or computers. If the economy is currently producing 10 cars and 20 computers, what is the opportunity cost of increasing car production to 25 cars?
The number of computers that must be given up to produce 25 cars
The total number of cars produced
The total number of computers produced
The sum of cars and computers produced
If the economy is currently producing 10 cars, how many computers can it produce?
10 Computers
18 Computers
6 Computers
20 Computers
Suppose an economy can produce either cars or computers. If the economy is currently producing 10 cars and 20 computers, what is the opportunity cost of increasing car production to 15 cars?
The opportunity cost is the number of computers forgone to produce 5 more cars.
The opportunity cost is the number of cars forgone to produce 5 more computers.
The opportunity cost is the total number of cars produced.
The opportunity cost is the total number of computers produced.
Refer to the graph showing the relationship between the number of CARS and COMPUTERS. How many computers correspond to 13 cars?
10 Computers
18 Computers
6 Computers
13 Computers
