Economics- Unit 1 Review

oil and water would be an example of which type of factors of production/productive resources

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

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

Which of the following is an investment in human capital?

Sum of people's skills, abilities, health, and motivation.

Capitalism is most closely associated with what economic system?

Specialization is a good idea because it increases efficiency and thus brings down cost.

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

Economic System- no role confusion, basic needs are met, predictable, low standard of living

What do economic systems do?

Any point/combination on the production possibilities frontier illustrates

The situation of limited resources and unlimited needs and wants creates

Product intended for final use by consumers rather than businesses

The desires and needs of the consumer determines what producers make is known as:

Which of the following is NOT a basic economic question?

Which of the following economic system has private property?

A market economy has an advantage over a traditional economy in that a market economy

Free market system where the government has some involvement in the economy

Movement along the production possibilities frontier illustrates which economic concept?

If I fail this class I don't graduate

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

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

Assignment of tasks so that each worker performs fewer functions more frequently

A productive resource not created by human effort (natural resources)

Employment in service occupations refers to:

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

A good or services capacity to provide satisfaction or usefullness is known as

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

Which of the following examples best demonstrates opportunity cost?

Risk taking individuals in search of profits

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

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

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

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

Market where productive resources are bought and sold

Henry Ford's assembly line would be an example of specialization/division of labor

Process of thinking about a potential benefit or cost to a choice is defined as:

Broad social goal of U.S. economy- right to choose your own occupation and use of your money

Examples of which productive resources- Hammer, copy machine, saw, and factories

Any combination/point below the production possibilities frontier illustrates