Economics 1
Economics 2
Economics 3
Economics 4
Economics 5
100
A computer is an example of which type of productive resource A land B labor C capital D entrepreneurship
What is C?
100
Jen wishes to take a vacation in a few months that costs more than her monthly paycheck will allow. What would be the safest way to get the money for the trip? A start immediately putting a portion of the money in an interest earning savings account B invest a large amount of money in risky companies. C take more money out of her paycheck and have it directly deposited into a 401K retirement plan D charge the trip on her credit card and then pay it pack over the next several years
What is start immediately putting a portion of the money in an interest earning savings account?
100
Tony is deciding whether or not to accept a job offer. According to the rational decision making model, he should consider A only the pay for the job. B only the other job opportunities he has. C whether he will incur an opportunity cost by accepting the job. D the marginal costs and marginal benefits of accepting the job.
What is the marginal costs and marginal benefits of accepting the job?
100
Kelly is deciding whether she should become a beautician or a paralegal. She would enjoy both jobs equally and it takes 1 year to become fully certified to do either job. The cost of beautician certification is $10,000 and the average beautician makes $30,000 a year. The cost of paralegal certification is $20,000 and the average paralegal makes $40,000 a year. If Kelly plans on working for at least 5 years, what job should she choose? A She should become a paralegal B She should become a beautician C Either decision is equally as good as the other decision. D She should not become either a paralegal or a beautician.
What is She should become a paralegal?
100
How is Economic growth measured year to year
What is by calculating and comparing GDP?
200
Gerald has a goal of being a millionaire in 5 years. He wants it to happen quickly and doesn’t mind if he loses some money along the way to becoming rich. Which option is the best for him given those circumstances? A start putting a large amount of money in a low interest earning savings account. B invest a large amount of money stocks from young startup companies. C take more money out of his paycheck and have it directly deposited into a 401K retirement plan D invest a large amount of money into safe low interest government bonds.
What is invest a large amount of money stocks from young startup companies?
200
Which headline would MOST LIKELY be found in a country that will experience an increase in standard of living? A “Country experiences population explosion.” B “Government to offer new educational opportunities.” C “Inflation rate hits new highs.” D “Central bank to raise interest rates.”
What is “Government to offer new educational opportunities.”?
200
Which describes scarcity? A A condition where supply exceeds demand. B The situation that exists when there is temporarily a shortage of a good or service. C Unlimited wants exceeding limited resources. D An unlimited demand for goods and services.
What is C?
200
Oil is an example of which type of productive resource A land B labor C capital D entrepreneurship
What is A?
200
An example of investment in technology is A hiring more workers. B buying more raw materials. C training workers on the job. D building a new factory.
What is building a new factor?
300
Which resources are scarce? A oil and water B labor C capital D all of them
What is D?
300
Opportunity cost is best described as the A sum value of all productive resources used to make a good or service B most expensive resource used in production C value of the next best forgone alternative D the monetary value of an opportunity
What is value of the next best forgone alternative?
300
Economic growth is often tied to investment in machinery, new technology, and education of the population. This is because A these items lead to a greater productivity of inputs. B the only way to measure economic growth is to observe changes in these factors. C investment in these items are the sole determinant of output. D the government only invests in these factors.
What is these items lead to a greater productivity of inputs?
300
If the benefits received from an action increase then people will be A less likely to do the action. B more likely to do the action. C unconcerned with the increase in benefits. D unable to tell there has been an increase in benefits.
What is more likely to do the action?
300
People typically respond to incentives A randomly. B in predictable ways. C by removing opportunity costs. D only when the incentive are negative.
What is in predictable ways?
400
In economics, rational decisions occur when A inputs exceed outputs. B the marginal benefits of an action equal or exceed the marginal costs. C businesses spend as little as possible on capital. D the government sets prices and quantities produced of goods and services.
What is the marginal benefits of an action equal or exceed the marginal costs?
400
In the context of economics, “marginal” means A total B average C median D additional
What is additional?
400
Which BEST describes productivity? A the interaction of buyers and sellers B the relationship of inputs to outputs C producing at high opportunity costs D trading based on absolute advantage
What is the relationship of inputs to outputs?
400
Land, labor, capital, and entrepreneurship are collectively known as A outputs B factors of production C investments D unlimited wants
What is B?
400
A good example of the effect of education on income would be that A employees who learn to perform high risk jobs always get paid more. B workers who learn to make high demand products are well paid. C only job applicants with high school diplomas get job interviews D people with college degrees usually earn more than those with less education.
What is people with college degrees usually earn more than those with less education?
500
Opportunity cost is MOST RELATED which of the following concepts? A scarcity B elasticity C price floors D absolute advantage
What is scarcity?
500
Instead of working a job that would pay $25,000 a year, Jared decides to take a one year electrician certification course. What is Jared’s opportunity cost for taking the one year course? A Jim has incurred no opportunity cost because the options he chose between were completely different. B Jim's opportunity cost is the $25,000 he could have gotten working for the year. C Jim's opportunity cost is the free time he is giving up. D Jim's opportunity cost is everything he is gaining by completing the certification course.
What is Jim's opportunity cost is the $25,000 he could have gotten working for the year.
500
The best definition for “allocate” is A create a shortage. B distribute. C anticipate. D save.
What is distribute?
500
The trade-offs one faces between different output combinations can be shown with a/an A output curve. B opportunity cost frontier. C trade–off correlation chart. D production possibilities curve.
What is production possibilities curve?
500
Rationing is one method used to A allocate scarce resources. B collect taxes. C improve productivity. D invest in education and technology
What is A?
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