Econ Unit 1 Review

Question 1

Which economic system is being described: has the disadvantages of not providing security to those in economic hardship

Accepted Answer

Market

Question 2

Which economic system is based on decisions of the producers and consumers

Accepted Answer

Market

Question 3

Businesses provide goods and services to the Factor Market.

Accepted Answer

False

Question 4

Which economic system requires voluntary exchange and consumer sovereignty to work?

Accepted Answer

Market

Question 5

Which Factor of Production would iron ore fall under?

Accepted Answer

Land

Question 6

True or False: Wants are things necessary for survival

Accepted Answer

False

Question 7

Which economic system is based on decisions of the government

Accepted Answer

Command

Question 8

Having Unlimited Wants in a world with limited resources is known as what?

Accepted Answer

Scarcity

Question 9

What is Gross Domestic Product?

Accepted Answer

Total value of all country's goods/services produced in a year

Question 10

Which point on the graph shows an impossible production for an economy?

Accepted Answer

C

Question 11

What does the US do more of: Exporting or Importing?

Accepted Answer

Importing

Question 12

Which economic system combines elements of other economic systems

Accepted Answer

Mixed

Question 13

What market failure is it when a transaction has an effect on someone not involved

Accepted Answer

Externality

Question 14

Which of the following is NOT a principle of Free Enterprise System?

Accepted Answer

Government Subsidies

Question 15

Social Security, Welfare, and Unemployment Benefits are examples of what?

Accepted Answer

Safety Nets

Question 16

Which economic system has little disagreement over goals and roles but is also resistant to change due to customs?

Accepted Answer

Traditional

Question 17

If Faribault decided to build a Chick-Fil-A and the residents benefited from it, it is a positive externality

Accepted Answer

True

Question 18

The Government does NOT interact with the factor or product market.

Accepted Answer

False

Question 19

T/F: There is no such thing as a free lunch

Accepted Answer

True

Question 20

Which is NOT one of the three essential economic questions?

Accepted Answer

How much money will it be worth?

Question 21

Which economic system is the most commonly used in the world today?

Accepted Answer

Mixed

Question 22

Which Factor of Production would buses and roads fall under?

Accepted Answer

Capital

Question 23

Which Factor of Production would wheat fall under?

Accepted Answer

Land

Question 24

Which of the following would cause a Production Possibilities Curve to shrink?

Accepted Answer

Natural Disaster

Question 25

What is the name for the entire list of alternatives given up when making a choice?

Accepted Answer

Trade-Offs

Question 26

What is the value of the next best alternative a person gives up when making a choice?

Accepted Answer

Opportunity Cost

Question 27

Which Factor of Production would the head of Nike fall under?

Accepted Answer

Entrepreneurship

Question 28

Which point on the graph shows an economy working inefficiently?

Accepted Answer

A

Question 29

Which point on the graph shows an economy working efficiently?

Accepted Answer

B

Question 30

Which Factor of Production would factory workers fall under?

Accepted Answer

Labor

Question 31

A Producer is a person who makes a good or produces a service

Accepted Answer

True

Question 32

Which economic system is based on customs, traditions, and beliefs

Accepted Answer

Traditional

Question 33

Which Factor of Production would factory machines fall under?

Accepted Answer

Capital

Question 34

What is the name of the system given where companies compete with each other to win customers?

Accepted Answer

Free Enterprise System

Question 35

What is it called when a person who does not pay for a good still recieves the benefit

Accepted Answer

Free Rider

Question 36

The Government provides public goods and services to households and businesses that are funded by taxes.

Accepted Answer

True

Question 37

Pollution is an example of...

Accepted Answer

Negative Externality

Question 38

How many pure command economies exist in the world today?

Accepted Answer

0

Question 39

What is Economics the study of?

Accepted Answer

How Humans use Resources to satisfy their wants

Question 40

Consumer spending flows directly into revenue for businesses.

Accepted Answer

True

Question 41

Which is not an example of a public good?

Accepted Answer

Cars

Question 42

Which economic system has the disadvantage of creating little motivation among workers

Accepted Answer

Command

Econ Unit 1 Review

Questions 42

Econ Unit 1 Review

Questions 42