Trade and Economics 101

Question 1

Which of the following best explains why businesses try to sell a good product at a low price?

Accepted Answer

Competition

Question 2

When only one person or company can make a certain type of good and they have no competition...

Accepted Answer

Monopoly

Question 3

There was a drought this year and half the expected corn was harvested. How will prices change?

Accepted Answer

Go Up

Question 4

Why might two civilizations decide to trade with each other?

Accepted Answer

Each has a comparative advantage in one skill or resource

Question 5

Oil, Land, and Water are examples of...

Accepted Answer

Natural Resources

Question 6

When prices go up for everything due to the supply of money, gold, or cash going up it's called

Accepted Answer

Inflation

Question 7

Everyone in this picture is doing a different job. That's an example of...

Accepted Answer

Labor Specialization

Question 8

If countries want to stop people from importing goods, they can place a tax on imports - called

Accepted Answer

Tariff

Question 9

When an individual living in one area buys a good that some one brought in from another area

Accepted Answer

Import

Question 10

Last year, rubber bracelets were very popular, but now they are not. How will prices change?

Accepted Answer

Go down

Question 11

Globalization - the process of things we use being made all over the world, results from...

Accepted Answer

Free Trade

Question 12

The money left over for a business owner after she has paid wages and expenses is called her...

Accepted Answer

Profit

Questions 12