Unit 1 Intro to Economics

What are physical objects that are capable of being touched

• Goods

• services

• scarcity

What are intangible things that cannot be touched, such as motorcycle repairs, haircuts or insurance.

• Services

• Goods

• Scarcity

What questions should we ask about the basic economic problem?

• What should be produced and with what quantities?

• How should things be produced?

• Who should things be produced for

• All of them

What is an entrepreneur?

• someone who organizes a business venture and assumes the risk for it

• someone who goes bankrupt

• someone who is a bank tellr

• 4th option

What is the definition of economics?

• The study of getting rich
• The study of people and choices
• Forecasts of how a certain market will do
• Study of the stock market

What is an example of opportunity cost?

• Eating a hamburger instead of a hotdog
• Giving up going to see a movie to study for a test in order to get a good grade.
• Wearing dress shoes instead of tennis shoes in your house
• Writing with blue pen instead of a black pen

What is macroeconomics?

• The part of economics concerned with large-scale or general economic factors, such as interest rates and national productivity
• The record of how the prices of baked goods rise and fall
• A camera lens that allows it to take pictures close to the subject 
• The part of economics concerned with single factors and the effects of individual decisions.

What is microeconomics?

• The study of small things
• The part of economics concerned with large-scale or general economic factors, such as interest rates and national productivity
• The part of economics concerned with single factors and the effects of individual decisions.
• The unit prefix that denotes the factor of one millionth in the metric system

If my government is selling me bread for $5 a loaf, and I have no choice but to buy that type of bread, I live in a _____ economy. 

• Traditional 
• Market 
• Command 
• Mixed

In this type of economy, the individual decides who to sell their products to.  

• Traditional 
• Mixed 
• Market
• Command