Econ 1

What is the primary focus of Economics?

• Study of production, distribution, and consumption

• Production of goods

• Distribution of wealth

• Consumption of services

What does Engineering primarily apply to?

• Economic principles

• Natural sciences

• Mathematical theories

• Creative arts

What is the main objective of Engineering Economy?

• To enhance technology

• To minimize costs

• To assist decisions through economic analysis

• To maximize production

Which of the following is NOT a vital economic activity?

• Production

• Consumption

• Investment

• Marketing

What are the factors of production?

• Land, Labor, Capital, Entrepreneurship

• Goods, Services, Wealth, Satisfaction

• Supply, Demand, Price, Profit

• Investment, Distribution, Consumption, Production

What does the term 'Circular Flow of Economic Activities' imply?

• A one-time economic event

• A linear process of production

• A continuous flow without a defined start or finish

• A flow with a beginning and an end

Which sector includes households that consume goods and services?

• Government Sector

• Business Sector

• Financial Sector

• Household Sector

What is the definition of Consumption in economics?

• The process of creating goods

• The use of goods and services for satisfaction

• The distribution of wealth

• The investment in production

What does the term 'Investment' refer to in economic terms?

• The consumption of services

• The distribution of income

• Excess of production over consumption

• The total output of goods

Which of the following is a criterion for economic acceptability?

• Focus on short-term gains

• High initial costs

• Positive balance of long-term benefits over costs

• Limited technological innovation