Scarcity
------------------ is the study of how people seek to satisfy their needs and wants by making choices.
A. Scarcity B. Economics
C. Entrepreneurship D. Opportunity Cost
B. Economics
The most desirable alternative somebody gives up as the result of a decision is ------------
A. Thinking at the margin
B. Underutilization
C. Opportunity cost
D. Marginal cost
C. Opportunity cost
What is the production possibilities curve?
A. A graph that shows how much an economy can produce between 2 goods.
B. The extra cost of adding one unit.
C. A graph that analyses costs and benefits.
A. A graph that shows how much an economy can produce between 2 goods.
Distinguish which of these would be an alternative use for farmland?
A. skilled labor B. Farm machinery
C. Cash D. An amusement park
D. An amusement park
A basketball coach is performing a cost/benefit analysis in order to determine if more hours of practice would help the team score more points. The coach's action is an example of:
A. Individual trade-offs
B. Opportunity cost
C. Marginal thinking
D. Marginal benefit
C. Marginal thinking
-------------- is the use of resources in such a way as to maximise the output of goods and services.
A. Underutilization
B. Efficiency
C. Trade-off
D. The law of increasing costs
B. Efficiency
Who is affected by the condition of scarcity?
A. Governments B. Businesses
C. Poor people D. All societies
D. All societies
To save money, Taylor decided not to go to a concert where her favorite musician was performing. What was the opportunity cost of that decision?
A. Having fun at the concert
B. Spending time at home
C. Having time to study
D. Having extra money
A. Having fun at the concert
An increase in the labor force would cause the production possibilities frontier to:
A. Shift the right
B. Shift to the left
C. Turn into a straight line
D. Make no change
A. Shift the right
A salesclerk’s effort represents which factor of production?
A. Entrepreneur B. Capital
C. Labor D. Land
C. Labor
What are economists referring to when they say "choosing is refusing"?
A. Opportunity cost
B. "Guns or butter"
C. Marginal cost
D. Thinking at the margin
A. Opportunity cost
If a natural disaster strikes, the production possibilities curve can:
A. shift to the right
B. shift to the left
C. make no shift
B. shift to the left
Why is there scarcity even in an affluent country like the United States?
A. Entrepreneurs are scarce and companies need leaders.
B. Resources are limited but wants are unlimited.
C. Some people are poor while others are wealthy.
D. Wants are limited but needs are unlimited
B. Resources are limited but wants are unlimited.
The question remains: How many guns are necessary to maintain a high level of security for the U.S., and how much butter can the nation afford without hurting guns and vice versa?"— David Briceno, "‘Guns vs. Butter,' America's Political Dilemma," The Union in the quotation above, "butter" refers to:
A. Agricultural spending
B. Domestic spending
C. Commercial spending
D. Defense spending.
B. Domestic spending
Which of the following courses of action makes the MOST sense in today's world for manual laborers who have been replaced by robots?
A. Look for work in farming, fishing, or hunting.
B. Write to members of Congress to complain about their former employer.
C. Seek training in the latest technology related to a type of work they enjoy.
D. Open their own manufacturing plant that employs manual laborers, not robots.
C. Seek training in the latest technology related to a type of work they enjoy.