Unit 1b Quiz

What is scarcity?

• Having unlimited resources to meet every need

• Having enough resources to meet every need

• Not having enough resources to meet every need

• Having equal resources to meet every need

What are capital resources?

• Goods and services produced by people

• Items that come from nature

• Anything used in the production of goods and services that is related to money

• People who make or provide goods and services

What are human resources?

• Goods and services produced by people

• Items that come from nature

• Anything used in the production of goods and services that is related to money

• People who make or provide goods and services

What are natural resources?

• Goods and services produced by people

• Items that come from nature

• Anything used in the production of goods and services that is related to money

• People who make or provide goods and services

Which type of economy allows freedom to buy and sell things with very little government intervention?

• Capitalism

• Communism

• Socialism

• None of the above

Which type of economy has government intervention in an attempt to make everyone equal?

• Socialism

• Communism

• Capitalism

Which type of economy has a lot government intervention with no competition?

• Socialism

• Communism

• Capitalism

These are the ____________ ______________ every country must answer.

1. What goods and services will be produced?

2. How will they be produced?

3. What wants or needs are being met?

All countries face the basic economic problem.

• True

• False

The basic economic problem is:

• The mismatch of unlimited wants and needs and limited resources

• The fact that all consumers have limited needs

• The mismatch of limited wants and needs and unlimited resources

• The fact that businesses are in business to make money.