IB - Ch. 1 Review (Economic Decisions and Systems)

Question 1

The opportunity cost is the value of the next-best alternative that you were not able to choose

Accepted Answer

true

Question 2

_____ is the quantity of a good or service that businesses are willing and able to provide.

Accepted Answer

supply

Question 3

The three types of economic resources are:

Accepted Answer

natural, human, and capital

Question 4

____ is the quantity of a good or service that consumers are willing and able to buy.

Accepted Answer

demand

Question 5

Economic resources are the things available to be used to produce goods and services.

Accepted Answer

true

Question 6

_______ are activities provided that are consumed at the same time they are produced.

Accepted Answer

services

Question 7

The market price is the point where supply and demand are equal.

Accepted Answer

true

Question 8

Economic resources are also known as factors of production.

Accepted Answer

true

Question 9

_______ means NOT having enough resources to satisfy every need.

Accepted Answer

scarcity

Question 10

Wants are things that add comfort and pleasure to your life.

Accepted Answer

true

Question 11

_______ are things that you can see and touch.

Accepted Answer

goods

Question 12

Which economy has the resources owned and controlled by the government?

Accepted Answer

command economy

Question 13

Needs are things that are required in order to live.

Accepted Answer

true

Question 14

A ____ is a person who buys and uses goods and services.

Accepted Answer

consumer

Question 15

_refers to the private ownership of economic resources by individuals, rather than by the govt.

Accepted Answer

capitalism

Questions 15