Abby owns a pizza place. Her pizza ingredients (dough, sauce, cheese, etc.) are what category of the factors of production?
Land
100
Janet decided to hire six workers at her flower shop. Which of the basic economic decisions did she answer?
How to produce the good or service
100
in what type of economy does the government own all of the factors of production?
Command economy
100
Anything produced in an economy that can be saved to produce other goods/services
Capital
100
What is another name for a market economy?
Free enterprise or capitalism
200
Lewis runs a farm and has two tractors. Which factor of production category would the tractors fall under?
Capital
200
Within a command economy, who would answer the question "what and how much should be produced?"
The government
200
While his father was a plumber, Casey decides to start a shoe factory. Casey probably lives in a society with what type of economy?
Market economy
200
The act of buying and trading goods and services.
Scarcity
200
After a shoe has been produced in a factory and before it is consumed by the buyer, what process must the shoe go through?
Distribution
300
What are the three factors of production?
Land, labor and capital
300
Hillary decides to make 500 apple pies this month at her bakery. Which basic economic decision is she making?
What and how much should be produced.
300
Olivia gathers the red berries for her family just like her mother and grandmother before her. While new blue berry bushes have started to show up in her area, she still only picks the red berries because that is what her ancestors had done. What type of economy does Olivia's society have?
Traditional economy
300
When resources are limited compared to people's wants
Scarcity
300
Why can't all wants be satisfied?
The factors of production (or resources) are scarce and it is therefore impossible to produce everything that everyone wants
400
Denise owns a dress shop. The fabric, thread and buttons she is currently using to create a dress falls under which category of the factors of production?
Land
400
Aaron has to decide whether to make his cakes by hand or to rent machinery to make the cakes. What is a reasonable factor that may influence his decision?
Cost of the machines vs human labor, how many cakes can be produced, quality of cakes, etc.
400
Most economies are not just one type of economy, but instead of elements of two or all three economies. What are these types of economies called?
Mixed economy
400
The difference between what it costs to produce something and the price the buyer will pay for it
Profit
400
Give a real life example of both a market and command economy.
Command: USSR, China, Cuba, North Korea...
Market: US, Canada, almost all of Europe, Australia, Japan...
500
Money is only considered to be capital if is being what?
Saved
500
How would a society that values equality answer the question "who will get what is produced"?
Dividing products equally
500
While the United States has a market economy, it also has some state owned businesses. What is one example of these state owned businesses?
education, mail services, defense, highways, airports, etc.
500
When you use your money to help a business get started or grow in the hope that business will earn a profit that you can share
invest
500
Sherri owns a moving van. She can either use the moving van to start a moving business or rent out the van to another moving company. What would be the opportunity cost if she decided to rent out the van?
The money she would have made if she started her own moving company.