In every nation on Earth,

people must deal with the problem of scarcity

Which of the following is a consumer?

all of the above are consumers.

are things you can see and touch

The decision-making process is best to use when

you are facing a decision with several good alternatives

The basic economic problem is

having unlimited wants, needs but limited economic resources

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PBMF Chapter 1 Review

25 termsStudBud Administration244 plays

Students will assess their knowledge and skills of the content covered in Chapter 1.

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Questions 25

Answers

1
When a country decides to focus on advanced technology and a skilled labor force answers
Question: Which needs to satisfy?
Question: What to produce?
Question: Which wants to satisfy?
Question: How to produce?
2
What is the first step in the decision-making process?
define the problem
act on your choice
evaluate the choices
identify the choices
3
Economic system where workers use hand tools and readily available natural resources
command economy
market economy
traditional economy
mixed economy
4
Which type of economy is usually centered mainly on meeting people's basic needs?
command economy
mixed economy
market economy
traditional economy
5
Water, air, and minerals are examples of
human resources
capital resources
consumer resouces
natural resources
6
In every nation on Earth,
individuals have the same wants and needs
workers have the ability to produce the same goods, services
people must deal with the problem of scarcity
economic resources are owned and controlled by government
7
As competition increases, prices __________.
No way to predict what happens to prices due to competition.
are not affected so will usually not change.
usually increase as well.
usually will decrease.
8
Economic system where the government decides what and how goods are produced
mixed economy
market economy
command economy
traditional economy
9
Which of the following is a consumer?
all of the above are consumers.
a business
an individual
the government
10
In which of the following economic systems is the government's role greatest?
command
traditional
mixed
market
11
Which of the following is an economic need?
a new television
water
concert tickets
a loaded SUV
12
People producing goods and services are called
limited resources
capital resources
human resources
natural resources
13
All of the following is a capital resource EXCEPT
lumber
employees
a pickup truck
a factory
14
Which of the following is probably a competitor to Mary's CD Shop?
Al's Garage
Food Clown grocery store
Donna's Donut Hut
B Flat Records and Tapes
15
What is the final step of the decision-making process?
act on your choice
review your decision
define the problem
make a decision
16
Another name for the economic system in the United States is
capitalism
free enterprise
all of the above
private enterprise
17
Which of the following is NOT an especially important principle of the U.S. economic system?
tradition
private property
freedom of choice
profit
18
The quantity of a good or service that consumers are willing and able to buy is called
an economic amount
supply
an economic want
deman
19
An important principle of the U.S. economic system is
competition
all of the above
the right to private property
the freedom of choice
20
Goods
have no physical characteristics
are things you purchase only after your basic needs are met
must be provided to you at the time you want to consume them
are things you can see and touch
21
The decision-making process is best to use when
you don't have enough money to pay for any of the choices
groups rather than individuals are making a choice
you are facing a decision with several good alternatives
you already know the choice you will make
22
The basic economic problem is
having unlimited wants, needs but limited economic resources
identifying the goods and services available to you
deciding what goods and service to produce
determining how to satisfy needs and wants
23
Economic systems where consumers base their decisions on their own self-interest.
traditional economy
mixed economy
command economy
market economy
24
If everybody had an unlimited supply of economic resources, which would not exist?
wants
needs
capitalism
scarcity
25
Economic system where resources are owned and controlled by the people of the country
market economy
command economy
mixed economy
traditional economy

PBMF Chapter 1 Review Flashcards | StudBud