Business Principles Chapter 3 Review

Question 1

Buildings, tools, machines, and equipment used to produce other goods but not satisfy wants

Accepted Answer

Capital goods

Question 2

The number of products that will be bought at a given time at a given price is called

Accepted Answer

Quantity

Question 3

The free-enterprise system, which operates in a democracy

Accepted Answer

Capitalism

Question 4

Economic-political system in which the gov't controls the use of the factors of production

Accepted Answer

Command Economy

Question 5

Ability of a good or service to satisfy a want

Accepted Answer

Economic Wants

Question 6

Which of the following is true about labor in today's world?

Accepted Answer

Physical effort is much less important than mental effort

Question 7

Human effort, either physical or mental, that goes into the production of goods and services

Accepted Answer

Labor

Question 8

The total knowledge and skills of human beings and the total value of each persons education

Accepted Answer

Human capital

Question 9

Jax lives in a country where only individual buying decisions in the marketplace determine all

Accepted Answer

Market economy

Question 10

Transfer of authority to provide a good from a gov't to individuals or private business

Accepted Answer

Privatization

Question 11

People have

Accepted Answer

Both economic wants and noneconomic wants

Question 12

Pattern of irregular but repeated expansion and contraction of the GDP

Accepted Answer

Business cycle

Question 13

Decline in the GDP that continues for 6 months or more

Accepted Answer

Depression

Question 14

Anything provided by nature that affects the productive ability of a country

Accepted Answer

Natural resources

Question 15

The body of knowledge that relates to producing and using goods that satisfy wants

Accepted Answer

Utility

Question 16

A(n) ___ occurs when demand for the total goods and services available is less than the supply

Accepted Answer

Recession

Question 17

Factors of production include

Accepted Answer

Land, labor, capital goods, and entrepreneurship

Question 18

The average change in prices of consumer goods and services typically purchased by urban areas

Accepted Answer

Consumer Price Index

Question 19

Desire for scarce material goods and services

Accepted Answer

Demand

Question 20

Rapid rise in prices caused by an inadequate supply of goods and services

Accepted Answer

Inflation

Question 21

Number of like products that will be offered for sale at a particular time and a certain price

Accepted Answer

Supply

Question 22

Items of value that individuals have the right to own, use, and sell

Accepted Answer

Private property

Question 23

An economic system that uses aspects of a market economy and a command economy

Accepted Answer

Mixed economy

Question 24

An organized way for a country to decide how to use its productive resources is called

Accepted Answer

Economic system

Question 25

When a country's output exceeds its population growth it will have

Accepted Answer

Economic growth

Business Principles Chapter 3 Review

Questions 25

Business Principles Chapter 3 Review

Questions 25