Duplicate of Economics- Unit 1 Review

The act of buyers and sellers freely and willingly engaging in market transactions:

Which of the following is NOT a basic economic question?

Tools, equipment, and factories used in the production of goods and services

Which group of people ultimately determine the products in a free enterprise economy?

Any combination/point below/inside the PPC illustrates

Market where productive resources are bought and sold

A productive resource that comes from nature, not man-made

A combination of goods and services outside/ (above) the PPC illustrates:

Any point/combination on the PPC illustrates

In which market are the households sellers?

Transfer payments include

Economic System- profit incentive, lots of choices in goods and services, private property

Movement along the production PPC illustrates which economic concept?

Risk taking individuals in search of profits

What do economic systems do?

Product intended for final use by consumers rather than businesses

In which market are the firms buyers?

Economic Goal- fairness, illegal to discriminate based on age, race, sex, or disability

Competition does

Free market system where the government has owns major FOPS, but some private ownership exists

The basic problem in Economics and why people study it is due to

In capitalism, the motivation for starting and operating a business is to:

Hammer, copy machine, saw, and factories

The situation of limited resources and unlimited needs and wants creates

Voluntary exchange allows consumers to choose where they want to spend their money

The invisible hand of self interest says that businesses will produce quality products at acceptable prices

Capitalism is most closely associated with what economic system?

The Factor Payments for CELL are...

Which of the following economic system has private property?

Economic System- no private property, government answers the three basic economic questions

Which of the following examples best demonstrates opportunity cost?

Karl Marx believed that the people should have equal ownership of the FOPs

Economic System- based on old customs, basic needs are met, predictable, low standard of living

Which of the following examples would shift the PPC upwards- (illustrating economic growth)

oil and water would be an example of which type of FOP

Which of the following is an investment in labor/human capital?