Economics CW 1 Study Guide 2022-2023

Which of the following is true?

• If demand is greater than supply, prices are lower.

• If demand is lower than supply, prices are higher.

• If supply is greater than demand, prices are lower.

• If supply is greater than demand, prices are higher.

What are taxes?

• a service provided by the government

• money that people have leftover after shopping

• money that people pay to help the government

• services that people provide when they work for the government

Who is paid through taxes?

• barbers and cooks

• reporters and painters

• mechanics and truck drivers

• teachers and firefighters

Which place is paid for with tax money?

• bank

• restaurant

• public library

• the mall

What do consumers do?

• pay taxes to producers

• loan money to producers

• make goods for producers

• buy the goods and services of producers

When you have a voluntary exchange (trade), who benefits?

• both people

• only one person

• nobody

Name 2 things that are NEEDED in the marketplace.

• goods and services

• stores and factories

• consumers and producers

• employees and employers

Where do people buy and sell goods?

• factory

• marketplace

• assembly line

• industrial center

How are goods and services ALLOCATED in the marketplace?

• price

• lottery

• government

• by who is first

You go to Walmart and you purchase a baseball and a shirt. The baseball and the shirt are _________.

• goods

• services

• producers

• consumers