OBarclay 3rd 9 wks ex study gd Econ quiz

The purpose of government in a command economy is to

• ensure the availability of consumer products
• make major economic decisions
• encourage entrepreneurs
• promote economic freedom

Actions in one part of the country or world that have an economic impact on what happens eslewhere are examples of 

• opportunity costs
• economic interdependence
• trade-offs
• specialization

The money used to buy the tools and equipment needed for production is known as

• financial capital
• wealth
• capital goods
• the factors of production

An economy at its production possibilities frontier is operating 

• with slow economic growth
• at full potential
• without division of labor
• as a free enterprise economy

A popular model used to illustrate the concept of opportunity cost is

• the production possibilities fronier
• entrepreneurship
• the paradox of value
• the factors of production

The dollar value of all final goods and servces and the most compehensive measure of a country's total production output is

• Gross Domestic Product (GDP)
• a cost-benefit analysis
• financial capital
• its standard of living

The study of economics is important because it enables us to 

• describe our standard of living
• increase our consumption of consumer goods
• become better decision makers
• determine what goods ought to be produced

Division of labor is a characteristic of 

• home craft businesses
• assembly line production
• classroom education
• entrepreneurship

To arrive at an economic decision, a decision-making grid may be used to evaluate

• productivity
• only durable goods
• alternative choices of action
• only capital goods decisions

Manufactured goods needed to produce other goods and services are called

• consumer goods
• Gross Domestic Product (GDP)
• capital goods
• nondurable goods