Unit 3 Exam Review

Front

What is a sole proprietorship?

Back

A business owned and operated by one individual.

Front

Which of the following best describes a corporation? A business owned by a single individual. A business that is owned by shareholders and has a separate legal identity. A business that operates as a franchise. A business that is run by a cooperative of workers.

Back

A business that is owned by shareholders and has a separate legal identity.

Front

What is monopolistic competition?

Back

A market structure with many sellers offering differentiated products.

Front

Which type of unemployment is caused by changes in the seasons?

Back

Seasonal Unemployment

Front

What is the primary characteristic of a monopoly?

Back

A single seller with no close substitutes for the product.

Front

What does GDP stand for?

Back

Gross Domestic Product

Front

Which of the following is an example of cost-push inflation? Options: Increased consumer demand leading to higher prices., Rising production costs causing producers to increase prices., A decrease in the money supply., A government-imposed price ceiling.

Back

Rising production costs causing producers to increase prices.

Front

What is the business cycle?

Back

The fluctuation in economic activity over time, including periods of expansion and contraction.

Front

Which type of unemployment occurs when workers are between jobs?

Back

Frictional Unemployment

Front

What is an oligopoly?

Back

A market structure with a few large firms dominating the market.