Economics Quiz

How do goods differ from services?

• Goods are better than services

• Goods are objects; services can be skilled jobs

• Services are more expensive than Goods

• Goods and Services are the same

Why is scarcity an important concept in economics?

• It is important to be scarce

• People make choices based on goods and services available

• All goods are unlimited and there is no scarcity

• Scarcity is only seen in other countries not the US

List the three main factors of production.

• Land, labor and love

• Coal, water and forests

• Land, Labor and Capital

• Goods, services and cost

What does a production possibilities curve show?

• shows how to make a curve

• shows alternative ways to use resources

• shows how much money you can make

• shows a scarce product

Why is efficiency an important economic goal?

• to make sure to meet a goal

• to beat the economy

• to maximize the economies output

• to be the best country economy

What is a market?

• The supermarket

• a free market economy

• exchange between buyers and sellers

• free goods and services

What are the four main economic systems?

• free market, mixed, centrally planned and traditional

• Extraordinary, Free market, Cultural and Super

• Chase, Wells Fargo, Bank of America, and Citi Bank

• Cash, Credit, Loans and Savings

In which economic system does the Government make all the decisions?

• Free Market

• Mixed economy

• Centrally Planned

• Traditional

What is an open opportunity, and how does it motivate new businesses in the US?

• A store that is open

• getting a new job

• Opening a business

• opportunity to compete in the market place

What is gross domestic product (GDP)?

• total value of only goods produced

• total value of all services and goods produced

• total value of only services produced

• the difference of goods and services produced in different countries