Econ Review

Which of the following best illustrates marginal benefit exceeding marginal cost?

• A company lays off workers to reduce expenses

• A consumer avoids purchasing an expensive product on sale.

• A student studies for an extra hour because it improves their test score

• A city cancels a public project due to high expenses.

Tags

GA.SSEF1.c.

What is an example of a positive incentive for businesses?

• A government subsidy for producing renewable energy

• A tax increase on profits

• A regulation limiting business operations

• A fine for failing to meet production quotas

Tags

GA.SSEF1.c.

How do individuals, businesses, and governments make rational decisions?

• By avoiding any risks

• By responding only to positive incentives

• By choosing the action with the highest cost

• By comparing marginal benefits and marginal costs

Tags

GA.SSEF1.d.

What is the primary reason that choices must be made in economics?

• Resources are unlimited

• Wants are limited

• Prices are fixed

• Resources are scarce

Tags

GA.SSEF1.a.

What is the opportunity cost of attending college instead of working full-time immediately after high school?

• The wages you could have earned by working full-time

• The cost of tuition and books

• The time spent in class instead of leisure activities

• The value of your education

Tags

GA.SSEF1.d.

Which is an example of a natural resource (land)?

• A factory used for manufacturing goods

• A river used to generate hydroelectric power

• A truck delivering products

• A person working as a teacher

Tags

GA.SSEF1.b.

What is NOT a characteristic of a good Entrepreneur?

• Self-Awareness

• Long-Term Focus

• Risk Tolerance

• Disinterest

Tags

GA.SSEF1.c.

Who is affected by the condition of scarcity?

• The rich

• Large economies

• All societies

• Producers (ie: businesses)

Tags

GA.SSEF1.a.

Which of the following is NOT a strategy for allocating scarce resources?

• Price

• Lottery

• Unlimited supply

• Majority rule

Tags

GA.SSEF1.a.

Which of the following best describes a trade-off?

• Choosing between two desirable alternatives

• Receiving a free product

• Producing more with fewer resources

• Eliminating all opportunity costs

Tags

GA.SSEF1.d.