Civics Review

Question 1

Which factors determine the wage or salary of a new employee?

Accepted Answer

the availability of workers with similar skills

Question 2

This is the economic law that says consumers will buy more of a product as its price decreases.

Accepted Answer

Law of demand

Question 3

A person opened a booth at a flea market to sell paintings. This is an example of what?

Accepted Answer

Entrepreneurship

Question 4

What is the likely result of an industrial plant closing?

Accepted Answer

Unemployment in the area increases

Question 5

What is most likely to increase as specialization increases?

Accepted Answer

Productivity

Question 6

In the circular flow free enterprise model, how are prices for goods established?

Accepted Answer

Buyers and sellers determine prices

Question 7

What economic policy would a supporter of laissez-faire economics support?

Accepted Answer

Free Enterprise

Question 8

What increases as the number of companies making similar products increases?

Accepted Answer

Competition

Question 9

Wal-Mart is an example of what time of business?

Accepted Answer

Corporation

Question 10

Which powers are shared by the national and state governments?

Accepted Answer

Collecting taxes

Question 11

In which circumstance would a shoe store reduce the price of shoes?

Accepted Answer

Surplus

Question 12

What might a company do in order to increase profits?

Accepted Answer

Retrain workers in more efficient technologies

Question 13

What happens to the price of a good when its supply increases and its demand decreases?

Accepted Answer

Price decreases

Question 14

In a market economy, consumers pick _______ like voters choose candidates.

Accepted Answer

Goods and services

Question 15

Basic economic decisions being made by a central authority represents which type of economy?

Accepted Answer

Command

Questions 15