Econ Unit I: Introduction

Question 1

Which of the following is NOT an example of a resource?

Accepted Answer

Services

Question 2

The time and effort people contribute to the production process describes the scarce resource:

Accepted Answer

labor

Question 3

Which of the following is a positive economic statement?

Accepted Answer

There has been an increase in the rate of unemployement

Question 4

Which of the following is NOT one of the basic questions faced by countries when deciding how to allocate resources?

Accepted Answer

When should it be produced?

Question 5

In a mixed economy, government agencies are most likely to make economic decisions about:

Accepted Answer

national defense and public education

Question 6

Which economic question deals with choosing which combo of resources to employ in the production of each G/S?

Accepted Answer

How to produce?

Question 7

___ is the ability to keep things as they are indefinitely.

Accepted Answer

sustainability

Question 8

Economics is:

Accepted Answer

the study of choice under conditions of scarcity

Question 9

A country's ___ is a measure of the wealth of goods and services available to help people live comfortably.

Accepted Answer

standard of living

Question 10

A collection of buyers and sellers, wherever they may be, is a(n):

Accepted Answer

market

Question 11

What are regulations?

Accepted Answer

Rules of conduct passed by federal, state, or local government

Question 12

In a ___ economy, decisions about resources are made by habit, custom, superstition, or religion.

Accepted Answer

traditional

Question 13

The study of how people make decisions and how those decisions affect others in the economy is the study of:

Accepted Answer

microeconomics

Question 14

A ___ can be any form of government assistance for those with financial needs.

Accepted Answer

Social safety net

Question 15

A system of for coordinating the production and distribution of goods and services is known as a(n):

Accepted Answer

economy

Question 16

Which statement best explains why must government provide some public goods?

Accepted Answer

Market econs offer little incentive for producers to make public goods

Question 17

When resources are used up faster than they become available, econ. growth is usually in conflict with:

Accepted Answer

sustainability

Question 18

Which economic goal did the command economy, like Communism, most strive to achieve?

Accepted Answer

Equity

Question 19

In the context of the circular flow diagram, households:

Accepted Answer

sell land, labor, capital, and entrepreneurship to produce G/S

Question 20

A simplified representation of reality is called a(n):

Accepted Answer

model

Question 21

Any collection of people who share a common bond, such as those living in the same city or country, are known as a:

Accepted Answer

society

Question 22

The upper half of a circular flow diagram shows the exchange of goods and services for money that takes place in:

Accepted Answer

product markets

Question 23

Which of the following would be a question about equity

Accepted Answer

Do a lot of people receive goods and services or just a small number?

Question 24

Countries with higher safety nets usually rank lower in:

Accepted Answer

economic growth

Question 25

Which question would a macroeconomist most likely seek to answer?

Accepted Answer

What effect does govt borrowing have on the econ.?

Question 26

Payments for the use of resources are known as:

Accepted Answer

factor payments

Question 27

Which of the following is an economic goal that market economies do well in achieving?

Accepted Answer

Efficiency

Question 28

On this figure, points A, B, E, and F are combinations guns and butter that:

Accepted Answer

are possible to produce

Question 29

What is the primary incentive for business owners in a market economy?

Accepted Answer

Earning profits

Question 30

All of the following would contribute to economic growth EXCEPT:

Accepted Answer

increased natural disasters

Econ Unit I: Introduction

Questions 30

Econ Unit I: Introduction

Questions 30