Entrepreneurship Chapter 2

An example of a noneconomic want is

• clothing

• housing

• friendship

• cars

Which of the following is not an example of a service?

• lawn care

• car wash

• bicycle

• cable TV installation

If a product has inelastic demand, a price increase will cause

• consumers to buy more

• competitors to enter the market

• consumers to buy less

• little or no change in the demand for the item

What determines the type of economic system a country has?

• the political beliefs of the country's ruler

• the way the basic economic questions are answered

• the resources of the country

• the demands of the people

Which of the following is NOT a role of entrepreneurs in the U.S. economy?

• supply goods an services to meet consumer needs and wants

• provide capital investment and job creation

• determine how to allocate natural resources

• serve as agents for change

Another name for economic resources is

• factors of production

• goods and services

• supply and demand

• command economy

The four basic principles of the U.S. economic system are

• private property, freedom of choice, loss, competition

• taxed property, freedom of choice, profit, competition

• private property, freedom of choice, profit, competition

• private property, limited choice, profit, competition

Which of the following is NOT a function of business

• production

• marketing

• job creation

• finance

If you were going to start a small cake decorating business, which type of market structure would you most likely be entering?

• perfect competition

• monopolistic competition

• oligopoly

• monopoly

The Ford Motor Company operates in which type of market structure?

• perfect competition

• monopolistic competition

• oligopoly

• monopoly