When a nations' economy privatizes it changes from

government ownership to private ownership

An advantage of a pure market economy is that it

allows local communities to set their economic development

Businesses are customers and individuals producers

An example of a trade-off is

Giving up going to a movie to spend time shopping

A circular flow model shows how

all interactions in a market economy

Into what four categories do economist divide factors of production?

Land, labor, capital and entrepreneurship

An externality is a side effect of a transaction that affects

Someone other than the buyer or producer

studbud

Economic Scarcity, Economies, Choices

23 termsStudBud Administration104 plays

Imported from external platform

Flashcards23 cardsFPractice quizPHost liveL

Questions 23

Answers

1
What does the saying ""There is no such thing as a free lunch" mean?
everything cost something
most things cost nothing
most things cost something
Some things cost nothing
2
When a nations' economy privatizes it changes from
government ownership to private ownership
private ownership to public ownership
private ownership to government ownership
public ownership to government ownership
3
Which of the following examines the costs and expected benefits of a choice?
choice-profit analysis
cost-benefit analysis
choice-benefits analysis
cost-profit analysis
4
An advantage of a pure market economy is that it
allows local communities to set their economic development
prevents unequal distribution of wealth
provides security to non economically productive
has mechanisms for providing public goods
5
The government owns some, but not all, factors of production is a(n)
Communist System
Socialist system
Pure market economy
Authoritarian system
6
The ongoing tension of not having enough resources to meet human wants is called
Need
Scarcity
Surplus
Shortage
7
To be a successful entrepreneur requires a willingness to
play it safe
limit risks
take risks
borrow money
8
With voluntary exchange, a buyer and seller agree to do buiness together
only to benefit the buyer
for the benefit of neither
only to benefit the seller
for the mutual benefit of both
9
In a factor market
Individuals are customers and businesses producers
Individuals buy goods and services
Businesses are customers and individuals producers
Businesses sell productive resources
10
An example of a trade-off is
Going to a movie to see your favorite movie star
Giving up going to a movie because it got bad reviews
Giving up going to a movie to spend time shopping
Going to a movie because it got good rerviews
11
In economic terms, laissez faire means that government
does not support capitalism
stays out of the marketplace
gets involved in the marketplace
Supports soicalism and capitalism
12
Who wrote the Wealth of Nations?
Thomas Malthus
Alexander Hamilton
Karl Marx
Adam Smith
13
In a market economy, the real power in the marketplace is held by the
Seller
Government
Producer
Consumer
14
The satisfaction received from using one more unit of a good or service is called
Marginal Cost
Opportunity Benefit
Marginal Benefit
Opportunity Cost
15
A circular flow model shows how
some interactions in a market economy
some interactions in a traditional economy
all interactions in a traditional economy
all interactions in a market economy
16
What term means"making decisions based on the best combination of costs and benefits?"
Budgeting
motivating
Economizing
cutting back
17
Which of the following would macroeconomics study?
Decline in coffee prices
Success rate of sandwich shops
work habits of students.
General rise in prices
18
The incentive to improve material well-being by seeking gain from economic activities is called
Marginal benefit
Legal equality
Profit Motive
Open opportunity
19
Into what four categories do economist divide factors of production?
Resorces, labor, capital, and entrepreneurship
Land, labor, money, and entrepreneurship
Land, labor, capital and entrepreneurship
Resources, labor, money, and entrepreneurship
20
In the marketplace, producers are looking to
find incentives
buy goods for personal use
find the latest fad
earn a profit
21
An externality is a side effect of a transaction that affects
Buyer but not the producer
Someone other than the buyer or producer
Producer but not the buyer
Both the producer and buyer
22
Which of the following buys goods for personal use?
Consumer
Producer
Client
Advocate
23
Between 1867 and 1894, Karl Marx published a 3-volume study called
The Communist Manifesto
The Wealth of Nations
Das Kapital
Laissez faire

Economic Scarcity, Economies, Choices Flashcards | StudBud