Practice worksheet # 2 EOCT

 

CHAPTERS 1,2

 

  1. Society cannot produce all that it wants, what is this called?

a. trade offs     b. markets     c. scarcity     d. opportunity cost

  1. Which is not 1 of the factors of production?

a. labor     b. capital     c. land      d. ability     e. entrepreneurs

  1. Which isn’t included in the 3 basic economic questions as it relates to production?

a.  how     b. what      c. why     d. for whom

  1. Economics is the study of trying to satisfy unlimited wants with limited…..

a. needs     b. wants      c. scarcity      d. resources

  1. Consumers cannot have all they want, this is known as…….

a. scarcity     b. trade offs     c. costs     d. inflation

  1. _________ costs refer to the cost of the next best choice to choice you made.

a. total     b. marginal       c. opportunity      d. fixed

  1. Production possibilities frontier shows an economy operating at ……

a. it’s best      b. it’s worst      c. below avg.      d. slightly above avg.

  1. Which type of good is intended for use by individuals?

a. capital     b. consumer     c. market      d. marginal

  1. Which type of good is used to make other goods?

a. capital     b. consumer     c. market     d. marginal

  1. A durable good should last at least_____ years.

a. 10      b. 15      c. 3      d. 5

  1. A non-durable good will last less than _____ years.

a. 1       b. 3         c. 2        d. none are correct

  1. This means that productive resources are being used efficiently.

a. specialization     b. marginal     c. productivity      d. consumption

  1. This means using productive resources to do what they are the best at.

a. specialization     b. utility          c. value      d. productivity

  1. Economic __________ shows the impact of 1 part of the economy on another.

a. independence     b. dependence       c. semi dependence     d. interdependence

  1. A location where buyers and sellers deal in economic products is called?

a. merger    b. market     c. bank      d. quota

  1. This type of economy is based on custom.

a. command     b. traditional     c. market       d. socialist

  1. This type of economy  has the govt making all decisions.

a. command      b. traditional       c. market      d. socialist

  1. This type of economy allows people and business to make decisions.

a. command      b. traditional       c. market      d. socialist

  1. This requires sellers to attract customers, make a profit and lower prices

a. corporation     b. consumer     c. commodity      d. competition

  1. __________ sovereignty refers to the power that buyers hold in our economy

a. corporation      b. consumer      c. commodity     d. competition  

CHAPTERS 3-6

  1. A  sole proprietorship is owned by …

a. 3       b. 2       c. 4        d. 1

  1. Partnerships are owned by at least ______ people.

a. 3        b. 2       c. 4       d. 10

  1. ________ is a type of business that is regarded by law  as a separate legal entity.

a. conglomerate     b. merger      c. corporation      d. partnership

  1. When 2 or more businesses join to create a new business it is called?

a. conglomerate     b. merger      c. corporation       d. partnership

  1. _______ merger refers to  businesses joining together that offer the same product.

a. parallel      b. vertical     c. horizontal      d. conglomerate

 

 

  1. _______ merger  refers to businesses in different stages of production joining.

a. parallel      b. vertical     c. horizontal      d. conglomerate 

  1. In order to qualify as a conglomerate  a firm must own at least____ businesses.

a. 2      b. 4       c. 3       d. 5

  1. _______ economics is the study of small units in the economy.

a. macro     b. international     c. micro      d. supply

  1. Demand includes all of the following except?

a. desire     b. ability      c. willingness     d. need

  1. The law of demand states that as price increases demand will?

a. increase     b. decrease      c. remain constant     d. not be impacted

  1. Demand elasticity shows how demand changes b/c of a change in _______.

a. supply     b. labor      c. mergers     d. price. 

  1. The ability and willingness to offer products for sale at a variety of prices.

a. supply      b. demand      c. cost       d. value

  1. In the law of supply high prices will result in _________ quantity for sale.

a. less      b. the same     c. more     d. equal amounts

  1. The elasticity of supply shows how supply is impacted by ___________.

a. labor     b. materials      c. price       d. demand

  1. The theory of production shows the relationship between the 4 factors of prod. &

a. input     b. labor     c. cost     d. output

  1. In this production period the only input that can change is labor.

a. long run     b. home run     c. chicken run     d. short run

  1. In this production period all inputs can change.

a. long run     b. home run     c. chicken run     d. short run

  1. _______ costs exist even when nothing is being produced.

a. total     b. marginal     c. fixed     d. variable

  1. _______ costs will change along with production.

a. total    b. marginal       c. fixed     d. variable

  1. _______ cost are associated with extra production.

a. total   b. marginal        c. fixed     d. variable

  1. The law of  variable proportions states that output will change w/ any change of ?

a. cost     b. materials     c. input     d. demand

CHAPTERS 6-8

  1. Economic _____ help predict future economic behavior based on past events.

a. theories     b. models      c. plans      d. ideas

  1. _________ equilibrium means that supply is equal to demand .

a. supplier     b. price       c. market      d. surplus

  1. When supply is greater than demand you have _________ .

a. increase     b. surplus     c. decrease       d. shortage

  1. When demand is greater than supply you have ________ .

a. increase     b. surplus      c. decrease      d. shortage

  1. Equilibrium _____ leaves neither a surplus or a shortage.

a. supply      b. demand      c. cost      d. price

  1. Selling a  product at a loss to attract customers is called ?

a. discount     b. loss leader      c. reduction      d. sale

  1. The legal limit that can be charged for a product is called ?

a. profit      b. price ceiling     c. gross     d. net

  1. The minimum wage is an example of ?

a. poverty     b. employment      c. price floor     d. unemployment

  1. Market structure shows the level of _____ in a given industry.

a. employment     b. wages     c. labor      d. competition

 


Practice worksheet # 3 EOCT

 

CHAPTERS 6-8

  1. _____ competition features a large # of indep. and informed buyers and sellers.

a. oligopoly      b. pure     c. monopolistic      d. non price

  1. ______ competition is similar to pure comp., except products are not identical.

a. oligopoly      b. pure      c. monopolistic     d. non price

      53.______ competition uses advertising to increase sales.

           a. oligopoly      b. pure       c. monopolistic      d. non price

  1. _______ is a type of competition that has a few large sellers of a product.

a. oligopoly     b. pure       c. monopolistic      d. non price

  1. Collusion is when 2 companies agree to fix their _____.

a. labor      b. production      c. price      d. merger

  1. ________ is defined as having only 1 seller of a product w/ no close substitutes.

a. competition      b. monopoly      c. oligopoly     d. market structure

  1. ________ is an economic event that impacts an uninvolved third party.

a. mediation       b. arbitration     c. equities     d. externality

  1. _______ economics  deals with large units in the economy.

a. supply      b. demand     c. micro     d. macro

  1. Collective bargaining involves a meeting between management and ______ .

a. owners     b. government    c. labor     d. corporations

  1. Mediation and arbitration both involve the use of a _______ to settle a dispute.

a. 2nd  party     b. 3rd party      c. 4th party     d. 5th party

  1. Which of the following is not a category of labor.

a. skilled     b. unskilled      c. semi skilled     d. employed

CHAPTERS 9-14

 

  1. This is tax on socially undesirable products.

a. progressive      b. incidence     c. property     d. sin

  1. This is a tax on land and buildings.

a. progressive      b. incidence     c. property      d. sin

  1. This requires those w/ higher incomes to pay a higher % in taxes.

a. progressive      b. incidence     c. property      d. sin

  1. This shows who actually pays a tax.

a. progressive      b. incidence      c. property      d. sin

  1. Which of the following is not an example of a transfer payment?  

a. schools     b. social security     c. subsidies      d. grant in aid

  1. _______ spending means that the govt spends more than it collects in taxes.

a. govt      b. deficit     c. tax      d. budget

  1. _______ money has a alternative use as a product.

a. fiat      b. barter      c. commodity      d. paper

  1. Between 1900-1934 people could exchange paper currency for ______.

a. silver     b. stocks      c. gold       d. all 3

  1. This was established in 1913 to standardize banks and currency.

a. National bank     b. National reserve     c. Federal reserve     d. Federal bank

  1. The most important function of the Federal Reserve is to set ________.

a. savings rates     b. wage rates     c. percentage rates      d. interest rates

  1. These are available b/c of a lack of consumption.

a. assets     b. liabilities     c. savings      d. stocks

  1. Financial ______ include the income and property of a borrower.

a. assets     b. liabilities      c. savings      d. stocks

  1. Equities are the same thing as _______.

a. assets     b. liabilities      c. savings     d. stocks

  1. This institution is also known as wall street.

a. S&P 500      b. NYSE     c. NASDAQ     d. DOW-JONES


 

  1. This institution provides information on over the counter stocks.

a. S&P 500      b. NYSE      c. NASDAQ     d. DOW-JONES

  1. This institution is the most popular measure of stock performance.

a. S&P 500      b. NYSE      c. NASDAQ      d. DOW –JONES

  1. This institution reports on stocks from all exchanges.

a. S&P 500      b. NYSE       c. NASDAQ      d. DOW-JONES

  1. This measures the output of all goods and services inside a country w/ in a year.

a. NNP      b. GNP      c. GDP       d. OPP

  1. Products that are used to make other products are called ______ products.

a. secondhand     b. production      c. intermediate     d. factory

  1. This is a measure of the performance of all American owned companies.

a. NNP      b. GNP       c. GDP       d. OPP

CHAPTERS 15-19

 

  1. Real ___ per capita shows the $ amount produced for all in the economy.

a. NNP     b. GNP     c. GDP      d. OPP

  1. This phase of the business cycle shows economic decline of at least 6 months.

a. peak     b. trough     c. recession      d. depression

  1. This is a severe form of a recession.

a. peak      b. trough     c. expansion     d. depression

  1. Which of the following is not a type of unemployment.

a. seasonal     b. peak     c. frictional     d. cyclical     e. technological

  1. This is a general rise in the level of prices.

a. inflammation      b. infection      c. inflation      d. indwelt

  1. This is a general decrease in the level of prices.

a. defection     b. deflation     c. detection     d. dejection

  1. Stagflation is a combination of no economic growth and ______.

a. deflation     b. expansion      c. inflation     d. contraction

  1. The misery index is a combination of inflation and _______ rates.

a. interest     b. employment      c. unemployment       d. wage

  1. When a country can produce more of a product b/c of its resources.

a. quota      b. comparative advantage     c. tariff       d. absolute advantage

  1. When a country can produce more of a product b/c of efficiency.

a. quota      b. comparative advantage     c. tariff     d. absolute advantage

  1. This is a tax on imports.

a. quota     b. comparative advantage     c. tariff     d. absolute advantage

  1. Exchange rates deal with ______ .

a. stocks      b. bonds       c. currency     d. tariffs

  1. This economic system allows for private ownership of the factors of production.

a. communism      b. capitalism     c. socialism     d. both a & c

  1. This economic system allows the govt to own some of the factors of production.

a. communism      b. capitalism       c. socialism    d. b & c

  1. This economic system features the govt owning all of the factors of production.

a. communism       b. capitalism      c. socialism     d. a & b