CE - Unit #6

Question 1

Laissex-faire refers to what type of economic system

Accepted Answer

market

Question 2

Opportunity cost: Party planner earns $100 & $200 for 2 parties, & turns down 3rd party for $75

Accepted Answer

$75

Question 3

The idea that people act in their own interest by working to provide things others want is

Accepted Answer

invisible hand

Question 4

Fixed costs

Accepted Answer

stay the same regardless of production

Question 5

Things we would like to have, such as entertainment & vacations, to make life more comfortable

Accepted Answer

wants

Question 6

Business, consumers, govt, & foreign sectors comprise the

Accepted Answer

circular flow of economic activity

Question 7

White-collar jobs

Accepted Answer

do not complete manual labor (office jobs)

Question 8

Consumers earn their income in the ___ markets; consumers spend this income in the ___ markets.

Accepted Answer

factor; product

Question 9

Which of the following sells a service rather than a good?

Accepted Answer

medical office

Question 10

How does competition among businesses affect consumers in a free market economy?

Accepted Answer

It gives buyers a better value for their money

Question 11

Economic concept indicating that there will always be wants/needs that are not fulfilled

Accepted Answer

scarcity

Question 12

Planners in the central govt make ALL major economic decisions about production

Accepted Answer

command

Question 13

People rely on community for assistance & use methods/tools that have been used for generations

Accepted Answer

traditional

Question 14

In the US, basic economic questions are mostly answered by whom?

Accepted Answer

consumers & producers

Question 15

cheese from cows, sauce from tomato plans, dough from grain

Accepted Answer

natural resources

Question 16

Businesses are free to make MOST economic decisions; govt steps in to ensure fair competition

Accepted Answer

mxed

Question 17

Why do employers provide education and training to staff?

Accepted Answer

so workers will have skills to be more productive on the job

Question 18

All of the following are synonyms for "market economy" EXCEPT

Accepted Answer

COMMAND ECOOMY

Question 19

Which of the following is NOT an impact of automation in the production of goods/services?

Accepted Answer

More workers are hired

Question 20

Why would a restaurant assign small teams of worker to prepare SPECIFIC items on the menu?

Accepted Answer

increase productivity through specialization

Question 21

What modern invention increased productivity through division of labor?

Accepted Answer

assembly line

Question 22

in a ___ economy, ALL factors of production are owned by indvs and businesses

Accepted Answer

market

Question 23

Variable costs

Accepted Answer

increase with more production

Question 24

refrigerators, dishwashers, meat-grinders, cash registers

Accepted Answer

physical capital

Question 25

Factor: Building that houses the pizza shop

Accepted Answer

property

Question 26

advertising, new pizza ideas, fundraising from bank and investors

Accepted Answer

entrepreneurship

Question 27

If a party planner is offered three jobs, but can only take 2 of them, what is the trade-off?

Accepted Answer

Not accepting the third job

Question 28

Which type of economy would have the most trouble adjusting to crop failures?

Accepted Answer

traditional

Question 29

In a ___ economy, factors of production are owned by the govt

Accepted Answer

command

Question 30

Stores try to give customers what they want

Accepted Answer

consumer sovereignty

Question 31

people skills, culinary talent, experience in the restaurant industry

Accepted Answer

human capital

Question 32

chef, server, manager, hostess

Accepted Answer

labor

Question 33

Blue-collar jobs

Accepted Answer

manual labor tasks

CE - Unit #6

Questions 33

CE - Unit #6

Questions 33