wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

Chapter 2 Review - Our Global Economy

Total questions: 35

Worksheet time: 18hrs 30mins

Name
Class
Date
1.
Economics is the study of how
a)
decisions are made using six steps.
b)
limited resources are used to satisfy unlimited wants and needs.
c)
individuals make decisions about buying products.
d)
none of the above
2.
If you decide to get a full-time job after graduating from high school instead of going to college, the opportunity cost of the decision is
a)
the salary from your job.
b)
the money saved on college tuition.
c)
the loss of a college education.
d)
none of the above
3.
After you take action on a choice in the decision-making process, it is important to review the decision because
a)
changed circumstances may require a change in the decision.
b)
a different decision may need to be made.
c)
you may have made an error in defining the original problem.
d)
all of the above
4.
If consumers want more of a good than the amount supplied
a)
prices will decrease.
b)
price will increase.
c)
supply will decrease.
d)
none of the above
5.
Capital resources include
a)
gold, silver, and other minerals.
b)
buildings, money, and equipment.
c)
factories, mines, and talented personnel.
d)
none of the above
6.
The consumer price index shows
a)
how many consumer products a particular foreign currency can purchase.
b)
price levels for various products and services.
c)
the total price of the goods and services produced by a country in a period of time.
d)
none of the above
7.
The unemployment rate is an indicator of a country’s economic situation because
a)
people not earning an income reduce the flow of money in circulation.
b)
fewer goods and services are produced when there is high unemployment.
c)
a high unemployment rate can cause other people to lose their jobs.
d)
all of the above
8.
The first step of the decision-making process is to
a)
evaluate the alternatives.
b)
make a choice.
c)
take action on the choice.
d)
define the problem.
9.
Of the following characteristics, a less-developed country is least likely to have
a)
low economic wealth.
b)
poor housing and health care.
c)
a highly educated population.
d)
an emphasis on agriculture and mining.
10.
A command economy operates on the forces of supply and demand.
a)
True
b)
False
11.
The time used to study economics instead of to shop at the mall is an example of an opportunity cost.
a)
True
b)
False
12.
Developing countries have an economic development somewhere between that of a less developed country and an industrialized country.
a)
True
b)
False
13.
An industry that undergoes privatization is changed from private ownership to government ownership.
a)
True
b)
False
14.
Literacy level is an important measure of a country’s level of economic development because better-educated citizens can usually produce more goods and services of high quality.
a)
True
b)
False
15.
____________________ refers to an increase in average prices for goods and services in a country.
a)
Inflation
b)
Demand-pull inflation
c)
Cost-push inflation
d)
Recession
16.
____________________ is an economic system with most basic industries owned and operated by government.
a)
Capitalism
b)
Socialism
c)
Democracy
17.
A measure of the productive output of a country within its borders, including items produced with foreign resources, is gross ____________________ product.
a)
National
b)
Domestic
c)
Foreign
d)
International
18.
____________________ is the amount of a good or service that consumers are willing and able to purchase at a certain price.
a)
Supply
b)
Inflation
c)
Demand
d)
Market Price
19.
South Africa has a large percentage of the world’s diamond deposits. This is an example of
a)
comparative advantage.
b)
absolute advantage.
c)
a developing country.
d)
none of the above
20.

Which of the following is NOT considered a factor of production in economics?

a)

Labor

b)

Technology

c)

Inflation

d)

Land

21.

A market economy is characterized by

a)

No competition among businesses

b)

Central planning of production

c)

Government control of all resources

d)

Private ownership and voluntary exchange

22.

When the supply of a product increases and demand remains the same, what is likely to happen to the price?

a)

Price will increase

b)

Price will decrease

c)

Price will fluctuate randomly

d)

Price will stay the same

23.

Which of the following best describes a mixed economy?

a)

There is no competition among businesses.

b)

Both private and government ownership of resources exist.

c)

The government controls all production and distribution.

d)

All resources are owned by private individuals.

24.

What is the main purpose of the gross domestic product (GDP) indicator?

a)

To measure the total value of goods and services produced within a country

b)

To track the literacy rate of a population

c)

To determine the unemployment rate

d)

To compare inflation rates between countries

25.

A decrease in consumer demand for a product will most likely result in

a)

an increase in supply.

b)

a decrease in the product's price.

c)

an increase in the product's price.

d)

no change in the product's price.

26.

Which of the following is most likely to occur when a country experiences sustained economic growth?

a)

Higher unemployment rates

b)

Reduction in production of goods and services

c)

Increase in standard of living

d)

Decrease in literacy rates

27.

____________________ is the process by which resources are allocated based on consumer preferences and producer decisions in a market economy.

a)

Central planning

b)

Privatization

c)

Market mechanism

d)

Socialism

28.

A country with high levels of investment in education and infrastructure is likely to have

a)

low productivity

b)

high economic development

c)

limited access to technology

d)

a command economy

29.

Which of the following is considered a natural resource in economics?

a)

Stocks

b)

Machinery

c)

Software

d)

Water

30.

What is the main effect of inflation on consumer purchasing power?

a)

Purchasing power increases

b)

No effect on purchasing power

c)

Purchasing power fluctuates randomly

d)

Purchasing power decreases

31.

Which economic system relies primarily on government planning to allocate resources?

a)

Traditional economy

b)

Mixed economy

c)

Command economy

d)

Market economy

32.
When there is a shortage the price will usually? 
a)
rise
b)
fall
c)
remain the same
d)
equilibrium
33.

A drought has made this year's tomato harvest smaller than usual. What will probably happen to the overall supply of tomato sauce?

a)

The supply will probably go up

b)

The supply will probably go down

34.

Which of the following is a determinant of demand?

a)

Production technology

b)

Number of sellers

c)

Tastes and Preferences

d)

Cost of inputs

35.
What is quantity of a good or service that producers sell at a market price?
a)
supply
b)
demand

Similar Resources on Wayground

Penelopiad Chapters I-VII Quiz

31 questions

Penelopiad Chapters I-VII Quiz

quiz

Worksheet

•

9th - 12th Grade

Science Core Pre-test

40 questions

Science Core Pre-test

quiz

Worksheet

•

8th Grade - University

Unit 5b Test Corrections SP24

34 questions

Unit 5b Test Corrections SP24

quiz

Worksheet

•

9th - 12th Grade

Unit 4 Review - Physical Science

32 questions

Unit 4 Review - Physical Science

quiz

Worksheet

•

9th - 12th Grade

WH Imperialism Test

40 questions

WH Imperialism Test

quiz

Worksheet

•

9th Grade

Soal SAS Ganjil Bahasa Inggris Kelas 6

40 questions

Soal SAS Ganjil Bahasa Inggris Kelas 6

quiz

Worksheet

•

6th Grade - University

Chapter 7: Organization, Teamwork, & Communication

30 questions

Chapter 7: Organization, Teamwork, & Communication

quiz

Worksheet

•

9th - 12th Grade

E-learning Verb Conjugation Assignment

30 questions

E-learning Verb Conjugation Assignment

quiz

Worksheet

•

9th Grade