Specialization is when you.....?

Becoming expert on a set skill or subject

In a market economy, prices are established by

interaction of supply and demand

Production Possibilities Curve

shows alternative ways to use economy's productive resources

Which of the following is an example of an investment in human capital?

a worker learns how to operate a computer

4 Factors of Production

Land, Labor, Capital, Entrepreneurship

What does Specialization mean?

Focusing on producing one or a few products

A Production possibilities Curve...

shows how much I can produce of 2 goods

Opportunity cost means individuals

make decisions where they give up the next best choice

An example of a positive incentive is...

a classroom party for good behavior

The skills, knowledge, and experience possessed by and individual

A rational decision is when

marginal benefit is grater than the marginal cost

What does voluntary exchange mean?

Both the buyer and seller benefit from trading.

Economic growth is often tied to investment in machinery, new technology, and education. This is because

these items lead to greater productivity of inputs

cost of choosing one opportunity or investment over another

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Economics Final Exam Review#1

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Focus is over fundamentals of economics (Unit 1)

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Questions 22

Answers

1
What is market economy?
No one is in charge
Both government and individuals are in charge
Individuals are in charge
Government is in charge
2
Specialization is when you.....?
Becoming expert on a set skill or subject
Eat a whole pizza in less than an hour
Take naps
Actually study and do your homework
3
In a market economy, prices are established by
consumers and labor unions
decree of government agencies
interaction of supply and demand
businesses which buy and sell products
4
Production Possibilities Curve
shows alternative ways to use economy's productive resources
a curve
a graph that shows the curve
5
What is command economy?
No one is in charge
Individuals are in charge
Government is in charge
Both Government and individuals are in charge
6
Which of the following is an example of an investment in human capital?
a company buys a new piece of equipment
a state builds a new highway
a county hires a new tax collector
a worker learns how to operate a computer
7
4 Factors of Production
Land, Labor, Capital, Human Resources
Land, Labor, Capital, Entrepreneurship
Land, Labor, Commerce, Entrepreneurship
Land, Labor, Capital
8
Other than profit motive, some entrepreneurs are motivated by what?
all of the above
creating jobs
Improving society
innovation
9
What does Specialization mean?
Two or more people depending on others
Developing a broad set of skills
Focusing on producing one or a few products
Natural, Capital, and Human
10
A Production possibilities Curve...
Shows how much I can consume
is Fake Newz
shows how much I can produce of 2 goods
Shows how much I can produce of all goods
11
Opportunity cost means individuals
replace land and labor with capital resources
make decisions where they give up the next best choice
pay sales taxes to make a purchase
consider the environmental impact of purchases
12
An example of a positive incentive is...
a library fine
a parking ticket
a classroom party for good behavior
13
What economic system does the untied states have?
Mixed Market
Traditional
Free enterprise
Command
14
What is an example of physical capital?
Study of engineering
Computers
Auto mechanics
Cars
15
Human capital is
The demand, knowledge, and skills possessed by an individual
The skills, knowledge, and experience possessed by and individual
The skills, knowledge and money possessed by an individual
The knowledge, skills, and land possessed by an individual
16
A rational decision is when
marginal price is grater than the marginal benefit
marginal cost is grater than the marginal benefit
marginal price is grater than marginal cost
marginal benefit is grater than the marginal cost
17
Command economy also known as
Governmental economy
planned economy
service economy
developed economy
18
What does voluntary exchange mean?
One party takes something from another party.
The buyer makes money and the seller loses money.
A disagreement by a buyer and seller.
Both the buyer and seller benefit from trading.
19
Specialization leads to:_________
Voluntary Exchange
Market Competition
Price System
Private Property
20
Economic growth is often tied to investment in machinery, new technology, and education. This is because
these items lead to greater productivity of inputs
all of these items improve capital resources
investment in these items are sole determinants of output
the only way to measure economic growth is to observe changes in these
21
Free enterprise is a system of business competition encouraged by a:
industrial agency.
global network.
government program.
profit motive.
22
opportunity cost
cost of selling a business to begin another
cost of operating a business
earning the best profit possible
cost of choosing one opportunity or investment over another

Economics Final Exam Review#1 Flashcards | StudBud