Although specialization increases productivity, one disadvantage is

loss of flexibility among workers

How does voluntary trade promote economic progress?

It encourages businesses to lower costs by mass production

In a market economy, a seller who wants sales & a profit must answer following questions except

Will consumers be legally required to buy our products?

What is the primary purpose of job specialization?

increased efficiency and productivity

Opportunity cost is best described as the

value of the best alternative foregone when a choice is made

In which situation would it be inefficient to produce any more goods or services?

the marginal costs exceed the marginal benefits

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SSEF 3 & 4a

12 termsStudBud Administration248 plays

Covers specialization, voluntary exchange, and the different types of economic systems

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Questions 12

Answers

1
Although specialization increases productivity, one disadvantage is
higher costs in training workers
a reduction in wasted time
the loss of training time
loss of flexibility among workers
2
Which of these is found MORE often in command economies than in market economies?
competition
consumer sovereignty
private ownership
gov't regulation
3
How does voluntary trade promote economic progress?
It encourages businesses to lower costs by mass production
It discourages trade on the basis of comparative advantage
It makes individuals self-sufficient
moves goods fromthose who highly value themto thosewho don't
4
Which statement is a PRIMARY characteristic of a capitalist system?
equal distribution of resources
governmental regulation of business
graduated income tax
private ownership of property
5
Over 95% of the oil in Saudi Arabia is controlled by the gov't. This shows that Saudi Arabia is
market
command
mixed
traditional
6
In a market economy, a seller who wants sales & a profit must answer following questions except
Will our products be affordable to a large enough market?
Will consumers be legally required to buy our products?
Will consumers want to buy our product?
Will our products perform well against competitors?
7
What is the primary purpose of job specialization?
increased efficiency and productivity
increased consumer income
regional self-sufficiency
increased marginal utility
8
Opportunity cost is best described as the
value of the best alternative foregone when a choice is made
most expensive resource used in production.
$ value of all alternatives foregone when a choice is made
sum of all production costs
9
When people in an economy specialize, what do they depend on to make sure their needs are met?
government regulation
communal ownership
equal distribution of wealth
voluntary exchange
10
In which kind of economy are prices determined by supply and demand and by government actions?
mixed
market
traditional
command
11
In which situation would it be inefficient to produce any more goods or services?
the marginal benefits exceed the marginal costs
the marginal cost is less than the marginal benefit
the marginal benefit is equal to the marginal cost
the marginal costs exceed the marginal benefits
12
B/c command economies have a high degree of gov't involvement, which economic goals suit them?
efficiency and freedom
growth and efficiency
stability and equity
freedom and growth

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