Economic Concepts Quiz

What is the main cause of the economic problem?

• Too many natural resources

• Unlimited wants but limited resources

• Limited human desires

What is scarcity?

• Having more resources than needed

• Lack of something people want or need

• The abundance of goods and services

Which of the following is a "need" rather than a "want"?

• Designer shoes

• Basic food and water

• Luxury vacation

Why does scarcity force people to make choices?

• Because people like comparing products

• Because resources are unlimited

• Because resources cannot satisfy all wants

What does every economic choice involve?

• Free goods

• Opportunity cost

• Unlimited resources

What is the definition of opportunity cost?

• The extra cost of production

• The benefit of making a choice

• The next best alternative forgone

Which of these is an example of opportunity cost?

• Paying for a new phone

• Missing a concert because you chose to work

• Buying discounted groceries

What question does NOT belong to the basic economic problems?

• What goods to produce?

• How much money to save in a bank?

• For whom should goods be produced?

Which branch of economics studies individual decisions like consumer behavior?

• Macroeconomics

• Microeconomics

• Global economics

Which branch of economics focuses on unemployment and inflation?

• Microeconomics

• Behavioral economics

• Macroeconomics