Economics - Unit One

Question 1

The practice of combining the factors of production to create items of value is known as what?

Accepted Answer

Entrepreneurship

Question 2

Resources used to make goods and services include...

Accepted Answer

All of the above

Question 3

What is it called when benefits are passed on to bystanders?

Accepted Answer

Positive Externality

Question 4

Knowledge, Skills and Abilities

Accepted Answer

Human Capital

Question 5

This involves the study of small units such as individual consumers or producers

Accepted Answer

Microeconomics

Question 6

Any alternative we give up when we make a decision is known as what?

Accepted Answer

Trade offs

Question 7

What is the doctrine of having little government intervention in the economy?

Accepted Answer

Laissez Faire

Question 8

Which economic philosopher is largely responsible for capitalism?

Accepted Answer

Adam Smith

Question 9

Which economic philosopher is largely responsible for communism?

Accepted Answer

Karl Marx

Question 10

Which arrows represents the flow of goods and services from firms to households?

Accepted Answer

B

Question 11

What is the opportunity cost of going from point A to Point D?

Accepted Answer

20 Toasters

Question 12

a _________ are government programs designed to help those who are not well off.

Accepted Answer

Safety net

Question 13

Which arrow represents the flow of the factors of production from households to firms?

Accepted Answer

C

Question 14

_________ is the study of the choices we make to satisfy our wants and needs.

Accepted Answer

Economics

Question 15

What to produce, how to produce, who to produce for...

Accepted Answer

The three basic economic questions

Question 16

What types of economies are usually small communities who base decisions on custom and ritual?

Accepted Answer

Traditional

Question 17

The far left of the continuum of mixed economies is communism, what is the far right?

Accepted Answer

Free Markets

Question 18

A period of macroeconomic expansion followed by contraction is know as what?

Accepted Answer

The business cycle

Question 19

resources made by humans and used to create other products and sevices is known as what?

Accepted Answer

Physical Capital

Question 20

In what type of economic system does the government own some of the factors of production?

Accepted Answer

Socialism

Question 21

The next best alternative we give up when we make a decision is know as what?

Accepted Answer

Opportunity cost

Questions 21