stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
Fundamentals Test Review Flashcards | StudBud
Explore
/
Fundamentals Test Review
Fundamentals Test Review
40 terms
·
StudBud Administration
·
104 plays
Imported from external platform
Flashcards
40 cards
F
Practice quiz
P
Host live
L
Questions
40
Answers
1
What is a profit?
What the governemnt gets
Cost of Production
The money left after all costs of production are paid
Money made by the CEO
2
Productivity can bestbe defined as
What to produce
Where to produce
Maximum output
Relationship of inputs to outputs
3
When the private market is unable to produce a in a way that increases the marginal benefit to society, it's a:
Private Good
Market Failure
Market cost
Market Power
4
Margret ran a red light and was given a speeding ticket that will cost her $300. This situation was a result of a
Negative incentive
Positive Incentive
A woman driver
Opportunity cost
5
Which is the most likely effect of the Interstate Commerce Act on small farmers?
It caused them to use different carriers.
It helped them be more profitable.
It made them ship longer distances.
It required them to pay more fees.
6
What economic concept means that producers should only produce what consumers are willing to buy?
Mixed economy
Profit
Consumer Sovereignty
Government regulation
7
At which point on the PPC is unattainable?
A
D
E
X
8
When factors of production are allocated to their mostproductive use, this is called:
Efficiency
Growth
Freedom
Equity
9
When one is making a decision you would want the __________ to outweigh the ____________.
Cost, benefit
Cost to be the same as benefit
Benefit, cost
Opportunity Cost
10
Which point on the Production Possibilties curve is showing the firm is most efficient?
B, D, E
A
X
C
11
When factors of production are allocated to their most productive use, this is called economic
Freedom
Growth
Equity
Efficiency
12
Which of the following is not one of the three basic economic questions?
To Whom to Produce for
Where to Produce
What to Produce
How to Produce
13
Running one more mile after running the previous two miles would burn more calories. This concept explains
Trade-Off
Mariginal Cost
So you can eat more
Marginal Benefit
14
Who owns the factors of production in a command economy?
The Producers
The consumers
Businesses
Government
15
Which allocation strategy is exemplified by waiting in line for a discounted item on Black Friday?
Price
First Come, First Serve
Authority
Lottery
16
The distribution of resources to satisfy the greatest number of needs
Innovation
Allocation
Trade-Off
Specialization
17
The government decides to pay $50 million on cars instead of buying a zoo. What is the opportunity cost
The $500 million
Owning a car
Having a new zoo
Being in debt
18
Making pottery and then starting your own business, where you sell it online, is an example of
Labor
Entrepreneurship
Land
Physical Capital
19
What distinguishes land from capital and labor?
Land is a natural resource
Capital is a natural resource
Land is unlimited
Land is not needed for production
20
A PPC shows what economic concept.
Profit
Opportunity Cost
Trade-Off
Scarcity
21
In the study of economics:
People make rational decisions
The government provides jobs to all citizens of the United States.
The government only responds to negative incentives.
People respond to positive and negative incentives in predictable ways.
22
Leah works at Ford on the assembly line installing breaks. This is an example of
Specialization
Factors of Production
Opportunity cost
Trade-Offs
23
Car companies can sell cars in the United States that meet certain government safety requirements. This is called:
Production
Consumption
Regulation
Taxiation
24
In which type of economic system would the producers, consumers and individuals answer the 3 basic economic questions?
Traditional
Command
Socialism
Market
25
Economics is the study of how one uses limited resources to satisfy
Opportunity Cost
Limited needs
Unlimited wants and needs
Limited wants
26
Which one of the four types of economic systems would best describe the American economy?
Traditional
Mixed
Market
Command
27
Which of the four factors of production would a tractor,used to plow fields, represent?
Physical Capital
Scarcity
Labor
Land
28
A farmer hires twenty extra workers to harvest an apple crop. Which factorof production is the farmer investing?
Physical Capital
Labor
Scarcity
Land
29
Specialization and trade usually lead to
Low economic growth
The exchange of goods and services at at greater level
Higher Prices
No economic cost
30
The value of one’s next best alternative given up when a choice is made is called
Scarcity
Allocation
Opportunity Cost
Trade-Off
31
Sally is training to become a nurse, this is an example of improving ones
Human capital
Physical Capital
Opportunity cost
Scarcity
32
The following items would be consider a public good or service, except:
Police
Fire and Rescue
National Park
Target
33
Which of the following is a key motivation for entrepreneurs?
All of the Above
Innovation
To Create Jobs
Profit
34
Pollution from the new factory in town has caused local residents to get sick. This is a representation of a
Negative externality
Stay and deal with it
Positive externality
Time to move
35
What is the main problem in economics?
Scarcity
Freedom
Competition
Regulations
36
In which economic system are private property rights highly valued?
Market
Command
Socialist
Traditional
37
Which of the following is not one of the three basic economic questions?
What to produce
How to produce
Who to produce for
Where to produce
38
What would have to happen to reach point X?
All of Above
More Natural Resources
Increase in labor production
New and better physical capital
39
Which term describes the problem of limited economic resources combined with unlimited wants.
Trade-Off
Economics
Scarcity
Factors of Production
40
In order to determineif an item is scarce,the item would have to be:
limited and desirable
Limited and unpopular
Popular by the majority
Unlimited and popular
