Economics Midterm Review

Which of the following is a determinant of both supply AND demand?

According to the Law of Diminishing Marginal Utility

Business should produce the quantity at which

This is the most basic economic problem

According to the law of diminishing marginal returns

When supply is inelastic, the supply curve will be

An increase in demand will shift the demand curve

A productions possibilities frontier (PPF) shows

Variable costs

What is a market

What is the Law of Demand?

In economic terms, not doing your full share of the work is called

Which of the following is NOT a feature of free enterprise?

What two pieces of information are listed in a demand schedule?

In order to be considered part of supply, a seller must have both the ___ & ____ to produce

An inferior good is a good for which

The four factors of production (resources) are

The physical & mental talents of individuals are considered

What determines whether a good is normal, inferior or neutral?

In the circular flow model, what do households sell to businesses?

Marginal Cost is

Whis is scarcity?

Price of related goods causes ___________ to shift.

Another word for marginal is

When one person's actions affect another person, it is called 

Karl Marx is known for writing what?

Which of the following is not one of the three basic economic questions?

Goods produced by foreign countries that are consumed domestically are called

In economic terms, something that encourages or motivates a person to take action is

A change in demand will cause

If the price of an elastic good increases, what will happen to total revenue?

What are the two major economic systems?

What is scarcity?

Who owns corporations?

A normal good is a good for which

Which of the following is NOT one of the three types of business firms?

What is a price ceiling?

The movement toward a single world economy is known as 

Rationing exists because of

Goods that aid in the production of other goods (factories, machinery, etc) are called

The government can take private property for public use if they offer a fair price because of

If the number of buyers decreases, what will happen to the market for any good? 

Goods for which one person's consumption does not take away from another's are

What you give up, the next best alternative or what you forgo is known as

How do taxes and quotas affect price?

Which of the following is NOT a determinant of demand (shifter)?

The major goal of a business firm is to

Who owns the resources in a free enterprise or market economy?

How are profit and losses calculated?

Comparing the additional benefits to the additional costs is known as

When there is a surplus in the market, what is likely to happen?

Goods that are consumed together are called

What is the law of supply?

What are fixed costs?

When demand is elastic

What is inventory?

Equilibrium occurs when 

What is the only thing that causes a change in quantity supplied or demanded?

Which of the following is NOT a determinant of supply?