EPF 1.1 Introduction to Economics Review

Which of the following is considered a want?

• Food

• Water

• Tacos

• Shelter

How is a want different from a need?

• A want is essential for survival, a need is not.

• A want is something we don't need but would like to have, a need is essential.

• A want is something we must have, a need is optional.

• A want and a need are the same.

What distinguishes services from goods?

• Services are tangible, goods are not

• Services are actions, goods are physical objects

• Services are always more expensive than goods

• Services are produced in factories, goods are not

Which of the following is an example of a natural resource?

• Plastic

• Timber

• Steel

• Concrete

Which of the following is an example of a capital resource?

• Water

• Employee training

• Machines

• Marketing strategies

In the context of starting a pizza business, which of the following is an example of a human resource?

• Oven

• Chef

• Cheese

• Delivery vehicle

What is the primary use of gas in the context of pizza making?

• To heat water

• To power the refrigerator

• For the pizza oven

• To light the dining area

The inability to satisfy all wants at the same time. Resources and goods are limited, so choices must be made.

• production

• consumption

• scarcity

• price

Who has to make difficult choices due to scarcity?

• Only businesses

• Only governments

• Only individuals

• Individuals, Businesses, and Governments

Which one of the factors of production is this?

• capital

• entrepreneur

• land

• labor