Economics Unit 1 Test

If a point is on the line, what does it represent?

• Product inefficiency

• Product efficiency

• Product Growth

• Production Quality

What does point A on this graph represent?

What does point X on this graph mean?

What are the THREE essential economic questions?

A PPC that is a straight line represents what?

What is one of the two studies of economics?

• Command Economy

• Macroeconomics

• Microeconomics

• Mixed Economy

Which economic system is also known as a "free market economy?"

• Command Economy

• Capitalism

• Mixed Economy

• Microeconomics

What economic system is it when the government controls all manners of production?

• Command Economy

• Capitalism

• Mixed Economy

• Microeconomics

Describe the difference between Microeconomics and Macroeconomics?

What are the three things that will cause a shift in the PPC?