Consumer Economics Unit 2 Test Review

Which of the following is an economic indicator?

Another term for an market economy is a capitalist system

The method by which a society uses resources to satisfy its people’s wants and needs is a(n)

A product sent to a foreign country for sale there is a:

Economic systems develop in response to the problem of…

A country’s ______is the total dollar value of goods and services produced during the year.

Another term for an market economy is a(n) _____ system

machines and technology used in the production of goods and services

The price at which demand for a product will equal supply is called the equilibrium price.

Goals of the American economic system include all of the following EXCEPT…

Which of the following is NOT provided by the Social Security system?

What is the main source of funding for unemployment insurance?

A society’s economic resources including all the following EXCEPT…

earning after all costs of production are paid

the quantity of a particular good or service that consumers are willing and able to buy at a given price

FICA taxes are another example of

examines how societies use resources to produce and distribute goods and services

When people focus on producing a good/service that they are able to produce well, are practicing specialization

Which of the following is a public assistance program that provides health-related services to low-income & needy people

Every economic choice has a(n) ______________ cost, the value of the best alternative given up.

The federal government’s power to collect income tax was granted by the…

The largest percentage of federal government revenue comes from…

Characteristics of the American economic system include all of the following EXCEPT…

system in which decisions are based on traditional customs and beliefs

A monopoly gives a company little control over price.

Of the following, the federal government spends the highest percentage of its revenues on…

One purpose of taxation is to redistribute income.

_____taxes are taxes on the manufacture or sale of certain products like tobacco or alcohol.

Today, most of the world’s economies are…

A(n) _______ is a mechanism that brings potential buyers and sellers together to exchange goods and services.

A tax system is used for all of the following purposes EXCEPT…

rivalry between two or more businesses that offer similar goods and services

Which of the following programs is administered by the Social Security Administration?

Retailers makes goods and provide services.

A monopoly gives a company little control over price.

The federal income tax is proportional.

In regard to the principles of supply & demand, when supply is down, and demand is up, what typically happens?

A(n) ________ is a business owned and controlled by two or more people who share in decision making, profits

In a free enterprise system, individuals are free to own and control business enterprises.

Consumer confidence, new technology, and government policies are examples of factors that:

Government regulations protect consumers by ensuring that unsafe products are taken off the market.

system in which decisions are made by a central government

system in which decisions are based on individual self-interest

In this economic system, decisions are based on traditional customs and beliefs

Producers make goods and services.

examines economic decisions made by governments rather than by individuals

In the type of business known as a(n) ______, the liability, or financial risk, of owners is limited.

A(n) _______ is a mechanism that brings potential buyers and sellers together to exchange goods and services.

Which of the following is a public assistance program that focuses on nutrition for pregnant women?

Earnings after all costs of production have been paid are called profit.