Unit 4: Understanding Economics

Services are:

• goods we buy

• factors of production
• things done for others

• the resources we use

All of the following are a factor of production except:

• land
• labor
• scarcity
• capital goods

An entrepreneur is:

• a person who works for a company
• an owner of a business
• an items needed to make a product
• raw materials

What are goods?

• items used to make other goods

• natural resources

• material items we can buy and sell

• workers and their skills

In a construction site, what would be the "land"

• a bulldozer
• a construction worker
• a hard hat
• lumber

Which of the following would be considered a "capital good" at a pizza shop?

• wheat flour

• oven

• delivery driver

• the customers

Which of the following would be considered the "labor" at a car dealership?

• the salesman

• the cars

• the parking lot

• the price tag

Which of the following would be considered the "entrepreneur" of a tech start up?

• the software engineers
• the apps that are developed
• the computer software
• the owner who had the idea

Which of the following is not a basic question of economics?

• what is going to be produced

• how is it going to be produced

• where is it going to be produced

• who is it going to be produced for

The problem that we have unlimited wants but there are limited resources to fulfill those wants is known as:

• development index
• uneven distribution
• scarcity
• factors of production