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WorksheetsIntro to Bus pd 4 - Q1 Exam Review
Total questions: 25
Worksheet time: 13mins
What are the differences between Needs and Wants?
Wants are things you can live without, Needs are essential for survival
Needs are comfort, wants are essential
Needs are things you can get for free while wants are something you have to pay for
Needs are expansive while Wants are cheap
Which of the following are considered the four basic economic resources (factors of production)?
Money, technology, government, and trade
Stocks, bonds, real estate, and capital goods
Land, labor, capital, and entrepreneurship
Needs, wants, scarcity, and opportunity cost
Which sentence describes a 'want'?
You must have it to stay alive, like air.
Something extra you wish for, like a new toy or a fancy car.
A rule from the government saying you have to buy something.
The money you save up in your piggy bank.
What types of economic activities are not included in GDP?
Government spending
Goods and services used in the manufacture of other products
Household spending
Business spending
What is a component of GDP?
Volunteer work
Unemployment benefits
Exports minus imports
Sales of goods and services
What are the main sources of personal income?
Wages, salaries, investment income, government payments.
Interest
Rental income
Capital gains
Which of the following categories is NOT generally considered a primary external factor influencing the international business environment?
Political and Legal Factors
Socio-Cultural Factors
Technological and Geographical Factors
Internal Organizational Factors
What is scarcity?
An abundance of resources
The fundamental economic problem of having seemingly unlimited human wants and needs in a world of limited resources
A prolonged contraction/recession
Forcing a sacrifice of one option for another, which can impact its strategy, resources, and competitive advantage
What are the four phases in a business cycle?
Inflation, Recession, Product, Peak
Deflation, Inflation, Recession, Contraction
Up, down, left, right
Depression, Contraction, Recovery, Prosperity
What is Deflation?
The opposite of inflation, it decreases in the general level of prices
The opposite of inflation, it increases in the general level of prices
The phase in which unemployment begins to decrease
A period in which demand begins to decrease, businesses lower production
(a) is selling the right to use some intangible property.
What is the economic system of the United States?
Traditional economy
Mixed economy
Command economy
Market economy
What is Capitalism?
Private ownership of economic resources by individuals, rather by the government.
The community or the state owns all property and means of production, with the goal of creating a classless society where wealth is distributed based on need.
Mixture of a and b
None of the above.
What is the economic system of a country combining elements from market and command economy?
Mixed economy
Traditional economy
Command economy
Market economy
What is the total amount owed by the federal government?
Budget deficit
Business debt
National debt
Consumer debt
A (a) represents debt for an organization.
What happens when a government may spend less than it takes in?
Budget deficit
Budget equal
Budget surplus
None of the above
A (a) is an individual or organization that determines what products and services will be available for sale.
A (a) is a person who buys and uses goods and services.
What is market price?
The point where supply and demand are equal
Economic growth
Quantity of goods and services that consumers are willing to buy
Personal savings
What is Supply?
The amount of a Good/Service a consumer is able to buy.
The Amount of a Good/Service a Company is able to sell over a Year.
The amount of a Good/Service a company is Able and Willing to Provide
What is the difference between comparative and absolute advantage?
Absolute advantage is simply the ability to produce more of something, while comparative advantage is the ability to produce it at a lower opportunity cost.
A country that possesses absolute advantage in a good will always have a comparative advantage in that same good
Absolute advantage, not comparative advantage, is the sole source of potential gains from specialization and trade.
Many countries do not have a comparative advantage in the production of any particular product, meaning they cannot benefit from trade.
If a country is buying a good from another country, what is this called?
(a)
Which of the following is an MNC benefit?
An MNC can become a major economic power in a host country.
Consumers become dependent upon it for goods and services.
Consumers have a wider range of product choices.
A and C
Which of the following is not an international trade organization?
World Trade Organization
World Bank
International Monetary Fund
MNC
