Economics Basics Flashcards

1

Which is an example of a good?

Cutting hair
Baking a cake
Decorating for a party
A new bike

2

When does opportunity cost occur?

When you gain something
When you buy a product
When you make a choice
When you sell a service

3

Which is a service?

A book
A new car
A bicycle
Cutting grass

4

How does the economy work?

By individual choices
Through government control
By fixed prices
Through scarcity only

5

What is a producer?

Someone who imports goods
Someone who makes things
Someone who buys things
Someone who sells services

6

How do goods differ from services?

Goods are tangible
Services are always free
Goods are intangible
Services are products

7

Why is opportunity cost important?

It eliminates costs
It reduces choices
It helps in decision making
It increases scarcity

8

Which is a renewable resource?

Trees
Coal
Oil
Natural gas

9

What are capital resources?

Tools for production
Imported goods
Consumer items
Natural resources

10

What is a good example of a natural resource?

Services
Baked goods
Clothes
Air

11

True or false: Opportunity cost is the benefit gained from a choice.

False
True

12

What is an import?

A product from another country
A natural resource
A local product
A type of service

13

What is the role of the government in a free enterprise system?

To produce goods
To control all choices
To allow economic choices
To limit imports only

14

Which is a non-renewable resource?

Water
Trees
Soil
Natural gas

15

What does scarcity mean?

Not enough of a product
Too much of a product
A type of resource
A government policy

16

What is a consumer?

Someone who sells goods
Someone who produces items
Someone who imports products
Someone who buys things

17

Where do natural resources come from?

From imports
From factories
From nature
From consumers

Economics Basics

Questions 17

Economics Basics

Questions 17