Economics U1: Basics of Economics (No Math)

Desires that can be satisfied by consuming a good or service​ are known as _____.

• Wants

• Needs

• Scarcity

• Economics

_____ exists when there are not enough resources to satisfy human wants​.

• Wants

• Needs

• Scarcity

• Economics

In economics, things that are necessary for survival​ are called _____.

• Wants

• Needs

• Scarcity

• Economics

The study of how people choose to use scarce resources to satisfy their wants​ is known as ______.

• Wants

• Needs

• Scarcity

• Economics

Which of the following choices best lists the three fundamental economic questions?

• What to produce, how to produce, and for whom to produce

• What time to produce, what place to produce, and how to produce

• What to produce, when to produce, and where to produce

• What to produce, when to produce, and for whom to produce

The idea of the "Invisible Hand" which brings balance to the economy is attributed to the famed economist, __________________.

• Richard III of Normandy

• Richard Keynes

• Adam Smith

• Adam Lambert

On a Production Possibilities Curve, where would you find efficient production?

• On the curve

• Inside the curve

• Outside the curve

On a Production Possibilities Curve, where would you find inefficient production (underutilization)?

• On the curve

• Inside the curve

• Outside the curve

On a Production Possibilities Curve, where would you find impossible levels of production?

• On the curve

• Inside the curve

• Outside the curve

An economic system in which groups make economic decisions based on customs and beliefs that have been handed down from generation to generation.​

• Traditional Economy

• Market Economy

• Command Economy

• Matrix Economy