Economics in Marketing Pretest

People's wants and needs are ___.

• limited
• unlimited
• the same as resources

The United States has many characteristics of a _____ economy.

• market
• free
• competitive

The people that buy the products are____.

• producers
• consumers
• marketers

The basic economic problem is ____.

• scarcity
• greed
• food shortage
• demand

True or False:
In a market economy, the government owns and controls important resources and makes the decisions about what will be produced and consumed.

• True
• False

True or False:
In a a private enterprise economy the government controls exchange activities between producers and consumers.

• True
• False

A relationship between the quantity of a product consumers are willing and able to purchase and the price is called ____.

• Demand
• Supply
• Value

In a(n) __________ economy, some goods and services are provided by the government and some by private enterprise.

• free
• market
• mixed
• controlled

____ is an individual view of the worth of a product or service.

• Demand
• Cost
• Value

Which of the following is one of the three basic questions all economies must answer.

• What goods and services will be produced? 
• How will they be produced?
• For whom will they be produced?
• All are correct