Basic Economics

Question 1

When resources are limited but wants are unlimited =

Accepted Answer

Scarcity

Question 2

The two components of demand:

Accepted Answer

A buyer's willingness to buy, A buyer's ability to pay

Question 3

The work that people do

Accepted Answer

labor

Question 4

I have to make a choice of how to spend my money, The thing I do not pick is called the

Accepted Answer

Opportunity Cost

Question 5

When you go to buy a car you are a

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Consumer

Question 6

If you worked at a car factory you would be a

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producer

Question 7

The struggle between businesses for consumers $dollars$

Accepted Answer

competition

Question 8

The knowledge and skills people use to produce a good or service

Accepted Answer

human capital

Question 9

Two more producers offering the same goods or services creates

Accepted Answer

Competition

Question 10

An example of a natural resource is

Accepted Answer

oil

Question 11

Competition creates more choices.

Accepted Answer

True

Question 12

Natural Resources

Accepted Answer

Land

Question 13

Macroeconomics is to a hotel as Microeconomics is to the

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the rooms

Question 14

Starting a new business or taking a job to make money is known as

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Profit Motive

Question 15

Profit is the financial gain received by selling something for more than it cost to make it.

Accepted Answer

True

Question 16

Prices in a free market are largely determined by

Accepted Answer

Supply and Demand

Question 17

The tools (tools, money, buildings) that people use to produce goods and services

Accepted Answer

physical capital

Question 18

People who start a business

Accepted Answer

entrepreneur

Question 19

Law of demand:

Accepted Answer

The price of a good rises, the quantity demanded of that good falls., The price of a good falls, the quantity demanded of that good increases.

Question 20

Competition creates:

Accepted Answer

All of the above

Questions 20