Economics Review (Chapters 1, 2, & 3)

Which is not considered a need?

• food
• clothing
• shelter
• TV

Which of the following buys goods for personal use?

• consumer
• producer
• advocate
• client

What are the four factors of production?

• land, labor, capital,
  and  entrepreneurship
• land, labor, money,
  and entrepreneurship
• resources, labor, capital,
  and entrepreneurship
• resources, labor, money, 
  and entrepreneurship

Which of the following examines the costs and expected benefits of a choice?

• choice-benefit analysis
• cost-profit analysis
• cost-benefit analysis
• choice-profit analysis

According to a PPC which of the following involves using resources to produce the maximum amount of goods and services?

• utilization
• underutilization
• efficiency
• overefficiency

What does a point inside the curve of a PPC indicate?

• all resources are fully employed
• not all resources are fully employed
• more resources are required
• less resources are required

Which of the following topics would Macroeconomics study?

• a general rise in prices
• a decline in coffee prices
• the success rate of sandwich shops
• the work habits of students

Who wrote The Wealth of Nations which laid the foundation for our economic system in the U.S.?

• Alexander Hamilton
• Thomas Malthus
• Karl Marx
• Adam Smith

A person who makes goods or provides services is called a

• consumer
• customer
• provider
• producer

The United States decides what goods to produce by letting

• only the government decide
• the producers and government decide
• only the producers decide
• the producers and consumers decide