EPF Review

Front

Which of the following answers below correctly define scarcity ?

Back

unlimited wants & needs with limited resources. The situation of not having enough resources to satisfy all one’s wants.

Front

Which of the following is a potential benefit of using a credit card? It allows you to avoid paying for purchases altogether., It provides instant cash, without the need to repay., It helps build a credit history, which can improve your credit score., It guarantees lower interest rates on all loans.

Back

It helps build a credit history, which can improve your credit score.

Front

In a traditional economy, how are the three economic questions (What to produce? How to produce? For whom to produce?) typically answered?

Back

Based on tradition, customs, and community practices.

Front

In a command economy, how are the three economic questions (What to produce? How to produce? For whom to produce?) typically answered?

Back

By government planners and central authorities.

Front

In a free market economy, how are the three economic questions (What to produce? How to produce? For whom to produce?) typically answered?

Back

Through the decisions of individual producers and consumers based on supply and demand.

Front

How does a debit card work?

Back

It lets you access your own money directly from your bank account to make purchases.

Front

How does a credit card work?

Back

It allows you to spend money you don’t have, with the agreement to repay the amount later.

Front

What does opportunity cost refer to in economics?

Back

The cost of the next best alternative that is forgone when making a choice.

Front

What does trade-off mean in economics?

Back

the alternative you face when you decide to do one thing rather than another

Front

What is a secured loan?

Back

A loan that is backed by an asset, such as a house or car, which the lender can claim if the borrower fails to repay.