Duplicate of SCCPSS Economics Review- Jledford

Question 1

What MOST often happens when demand for a product is highly elastic?

Accepted Answer

Substitution occurs when its price rises

Question 2

If there is a slight decrease in the price for tvs and a sharp increase in demand occurs then..

Accepted Answer

the demand for tvs is elastic

Question 3

In what ways does a market economy have advantages over a command economy?

Accepted Answer

more efficiency and economic freedom

Question 4

What investment offers opportunity for high returns but at a high risk?

Accepted Answer

stocks

Question 5

In a free market (capitalist) economy, to obtain goods and services, people mostly depend on?

Accepted Answer

voluntary exchange

Question 6

What kind of insurance is also an investment plan?

Accepted Answer

whole life insurance

Question 7

When businesses invests in capital goods, which of the following is most likely to occur?

Accepted Answer

. economic growth

Question 8

When investing money, what type of interest would you prefer?

Accepted Answer

compound interest

Question 9

The law of demand states that

Accepted Answer

demand quantity increases for a good when price is low

Question 10

With which term is a command economic system MOST closely associated?

Accepted Answer

governmental regulation

Question 11

Which group in the United States is responsible for establishing the nations monetary policy?

Accepted Answer

The Federal Reserve

Question 12

Which is the BEST example of a natural monopoly?

Accepted Answer

a public utility company

Question 13

What type of insurance pays monthly to someone who is unable to work for a period of time?

Accepted Answer

disability insurance

Question 14

Which business type has the perk of limited liability but less control of business decisions?

Accepted Answer

partnership

Question 15

The study of how individuals, businesses, and govts decide how to use their scarce resources

Accepted Answer

economics

Question 16

What basic economic question is being addressed? "Consumers demand new cell phones."

Accepted Answer

What to produce

Question 17

Which is an example of a progressive tax in the United States?

Accepted Answer

income tax

Question 18

Which factor MOST directly affects the amount of money borrowers must repay to lenders?

Accepted Answer

the annual percentage rate

Question 19

An assembly line can increase a factory’s productivity because it allows workers to

Accepted Answer

. focus on a specific task

Question 20

When you get hired to work at a book store, this transaction takes place in which market?

Accepted Answer

factor market

Question 21

How are MOST public goods and services paid for in the United States?

Accepted Answer

by taxes

Question 22

What best describes a market that is at equilibrium price?

Accepted Answer

Supply and demand are equal

Question 23

When borrowing money, what type of interest would you prefer?

Accepted Answer

simple interest

Question 24

What kind of tax increases the rate of taxation as a persons income increases?

Accepted Answer

Progressive tax

Question 25

Why would a tax be considered regressive?

Accepted Answer

it impacts the poor more than the rich

Question 26

Who answers the economic questions in a command economy?

Accepted Answer

the government

Question 27

Which role does money have in economic systems?

Accepted Answer

a medium of exchange

Question 28

The payments for land, labor, capital, and entrepreneurial abilityrespectively are

Accepted Answer

rent, wages, interest, and profit

Question 29

What is a strength of a market economy?

Accepted Answer

opportunity for profit

Question 30

What occurs when a price floor is set above equilibrium?

Accepted Answer

surplus

Question 31

Limited resources met with unlimited wants

Accepted Answer

scarcity

Question 32

What tends to make economies more efficient?

Accepted Answer

specialization

Question 33

Which is an investment in human capital?

Accepted Answer

sending employees to a training course

Question 34

All but the following are roles of money in an economy

Accepted Answer

uniformity

Question 35

If a company invests in human capital, what direction SHOULD its production curve move?

Accepted Answer

shift to the right

Question 36

How does money serve as a standard of value?

Accepted Answer

we can compare prices

Question 37

If the govt spent $50 tril dollars this year, and collected $40 tril in taxes it causes what?

Accepted Answer

budget deficit

Question 38

Trees, coal, and water are all

Accepted Answer

land

Question 39

A factory owner uses some of their profits to buy new machinery , this is an example of

Accepted Answer

capital investment

Question 40

giving up one thing of value for another item of value

Accepted Answer

tradeoff

Question 41

What is the basic economic problem experienced by all nations?

Accepted Answer

scarcity

Question 42

When governments tax polluting companies and subsidize education, they are serving the role of

Accepted Answer

resolving market failures

Question 43

What occurs when a price floor is set below equilibrium?

Accepted Answer

shortage

Question 44

What is the most common economy for nations in the world today?

Accepted Answer

mixed

Question 45

What kind of market structure encourages product branding and differentiation?

Accepted Answer

monopolistic competition

Question 46

The opportunity cost of going to college instead of taking a job for $20,000 per year includes

Accepted Answer

All of the above

Question 47

Which monetary policy decision is meant to increase the U.S. money supply?

Accepted Answer

The Federal Reserve buys treasury bonds in the open market

Question 48

The calculation of a country’s balance of trade involves the value of its

Accepted Answer

exports and imports

Question 49

The maximum allowable price that can be charged for a good or a service is call what?

Accepted Answer

Price Ceiling

Question 50

Mary owns her own company and chooses where and how to sell her goods. Mary is in

Accepted Answer

a market economy

Question 51

By refusing to trade with a country, the USA creates what?

Accepted Answer

an emargo

Question 52

Who most benefits from inflation?

Accepted Answer

someone who has borrowed money

Question 53

The cost you pay for your insurance coverage is called your

Accepted Answer

premium

Question 54

A person who advocates a protectionist trade policy would be likely to

Accepted Answer

call for supporting American industries

Question 55

Alex and Dylan mow and trim lawns. What method would be most efficient for them?

Accepted Answer

Alex mows a lawn while Dylan trims the same lawn

Question 56

You run into the pharmacy to buy some face wash, what market does this transaction occur in?

Accepted Answer

Product Market

Duplicate of SCCPSS Economics Review- Jledford

Questions 56

Duplicate of SCCPSS Economics Review- Jledford

Questions 56