Economics

What is the definition of economics?

• The study of human behavior and attitudes
• The study of past events and the impact they have had on people
• The study of political and social interactions
• The study of the production and distribution of goods and services

In economics there are exports and imports. Which of the following is an example of a United States export?

• A television made in China and sold in the United States
• A car made in Mexico and sold in Mexico
• A radio made in the United States and sold in the United States
• A computer made in the United States and sold in Indonesia

In economics, there are imports and exports. An import is _________.

• Merchandise shipped to a foreign country
• A tax on goods shipped to a foreign country
• Merchandise shipped from a foreign country
• A tax on goods shipped from a foreign country

One of the important parts of economics is interdependence. Which of the following is an example of interdependence?

• People make their own clothing.
• People often move to places that aren't as crowded.
• People need goods and services provided by other people.
• People grow their own food.

Trade is the exchange of goods and services. International trade sometimes involves the use of tariffs. Tariffs are __________.

• a tax on imports
• goods shipped to a country
• a tax on exports
• goods shipped from a country

Which of the following is an example of economics?

• The government of the United States is divided into three branches.
• The United States declared its independence from Great Britain.
• The people of the United States come from many different places.
• The United States buys oil for use at home from other countries.

Supply and demand affect goods and services in an economy. If people decide to buy more of a product, producers will MOST likely decide to ________.

• make more of the product
• change the name of the product
• make less of the product
• lower the cost of the product

In economic terms, which action shows a person acting as an investor?

• A person sells a car to a neighbor.
• A person puts money in a savings account.
• A person drives students to school.
• A person buys a new pair of shoes.

Since the United States trades products with many countries, American consumers ________.

• only buy products in other countries
• have a better selection of goods and services
• have fewer choices of goods and services
• only buy products made in the United States

The Bank of Kent County gave Amy a loan to buy a new car. When Amy repays the loan, she will pay the bank ________.

• the exact amount she borrowed
• a little less than she borrowed
• the amount she borrowed plus interest
• whatever amount she feels she can afford