What are the four Factors of Production?

land, labor, capital, entrepreneurship

What is Cost Benefit Analysis

comparing the costs with the benefits of that action

The skills, knowledge, and experience possessed by and individual

Which of the following describes a centrally planned economy?

The central government makes all economic decisions.

Which is not true about a Free Market Economy?

Resources are owned by the government

Represents part ownership of a company

define opportunity cost

the benefits you could have received

what’s the difference between a need vs a want?

Needs are things you need to have, a want are things you want but don’t nee

What is a mixed economy?

Combined market economy with government involment

The DOW and the S & P 500 are followed by investors to tell them_____.

the general health of the stock market

Sacrificing one item for another

Needs and wants outweigh the amount of resources available.

Three basic types of economic systems are:

free enterprise, command economy, mixed economy

What does a surplus occur?

When prices are above equilibrium

Law of demand states that

As the price of goods decrease, quantity demanded increases, As the price of goods increase, quantity demanded decreases

Market Equilibrium is...

quantity consumer demands equals quantity producer supplies

studbud

Econ Review

23 termsStudBud Administration

Imported from external platform

Flashcards23 cardsFPractice quizPHost liveL

Questions 23

Answers

1
If the price falls to $2, will there be a shortage or surplus?
Shortage
surplus
2
What are the four Factors of Production?
land, labor, capital, ownership
land, labor, capital, entrepreneurship
labor, land, demand, opportunity cost
demand, labor, land, supply
3
What FACTOR of PRODUCTION does this picture represent?
Land
Capital
Labor
Entrepreneur
4
What is Cost Benefit Analysis
The study of how people choose to use their limited resource
comparing the costs with the benefits of that action
the study of the workings of the economy as a whole
motivates a person to take a particular course of action
5
Consumer taste
Determinant of supply
Determinant Of Demand
6
The Law of Supply states ________ lead to higher quantity supplied
Higher Prices
Price
Low Price
7
Human capital is
The skills, knowledge, and experience possessed by and individual
The skills, knowledge and money possessed by an individual
The demand, knowledge, and skills possessed by an individual
The knowledge, skills, and land possessed by an individual
8
Which of the following describes a centrally planned economy?
The central government makes all economic decisions.
The central government follows laissez-faire policies.
The central government lets the market set wages for jobs.
The central government lets factories set their own goals.
9
Which is not true about a Free Market Economy?
The market determines prices
Resources are owned by the government
There is no economic plan
There is limited government control on what/how to produce
10
Quantity supplied is more than quantity demanded.
Surplus
Equilibrium
Shortage
11
What do stocks do?
Represents a share of stock
Represent investments
Represents money by a company
Represents part ownership of a company
12
define opportunity cost
a group of buyers and sellers
the price of a good or service increases
total satisfaction received from consuming a good service
the benefits you could have received
13
what’s the difference between a need vs a want?
Needs are things you want to have, want are things you need
Needs are things you need to have, a want are things you want but don’t nee
Wants are essential to life and needs are not important purchases
Needs are unessential and desirable, wants are things found at the zoo
14
What is a mixed economy?
Central planners make business decisions like how to produce
Decisions about resource are made by habit, or custom
Economic decisions are made by consumers and business owners
Combined market economy with government involment
15
Limited resources for unlimited needs
production
exchange
scarcity
opportunity cost
16
The DOW and the S & P 500 are followed by investors to tell them_____.
whether they should diversify their portfolio
the general health of the stock market
how the Dow Chemical stock is performing
17
Trade off is..
Passing a ball
Throwing a frisbee
Sacrificing one item for another
Giving an item to someone
18
Define Scarcity
Needs and wants outweigh the amount of resources available.
A limited amount of resources compared to prices.
A fundamental problem in society.
A social science dealing with people's needs and wants.
19
Three basic types of economic systems are:
what to produce, how to produce, who will receive the goods and services
free enterprise, command economy, mixed economy
free market, natural resources, labor
individual rights, state rights, mixed rights
20
When quantity demanded exceeds quantity supplied
Subsidy
Surplus
Recession
Shortage
21
What does a surplus occur?
When prices are above equilibrium
When quantity supplied is equal to quantity demanded
When quantity demand exceeds quantity supplied
When prices are below equilibrium
22
Law of demand states that
As the price of goods decrease, quantity demanded increases
As the price of goods decrease, the quantity stays the same.
As the price of goods increase, quantity demanded decreases
As the price of goods increase, quantity demanded increase
23
Market Equilibrium is...
producer supply does not meet consumer demand
quantity producer demands is lower than consumer's
consumer demand does not meet producer supply
quantity consumer demands equals quantity producer supplies

Econ Review Flashcards | StudBud