Economics Hardest Exam Quiz: Trivia
Settings
.
- 1.What is Economics?
- A.
The study of how people try to satisfy what appears to be seemingly unlimited and competing wants through the careful use of relatively scarce resources
- B.
Employment, gross domestic product, inflation, economic growth, and the distribution of income
- C.
Deals with behavior and decision making by small units, such as individuals and firms
- D.
A rise in the general level of prices occurs, workers need more money to pay for good clothing and shelter
- 2.What is Scarcity?
- A.
Giving something up to have something else
- B.
Extra cost of producing one additional unit of production
- C.
The condition that results from society not having enough resources to produce all the things people would like to have
- D.
A rise in the general level of prices occurs, workers need more money to pay for good clothing and shelter
- 3.What are the three basic economic questions?
- A.
What, where, whom
- B.
What, how, whom
- C.
How, whom, when
- D.
What, why, whom
- 4.What are the four factors of production?
- A.
Land, capital, money, entrepreneurs
- B.
Land, capital, labor, entrepreneurs
- C.
Capital, money, supply, demand
- D.
Labor, capital, supply, demand
- 5.Definition of Capital?
- A.
The tools, equipment used in the production of goods
- B.
The machinery, and factories used in the production of goods
- C.
The tools, and machinery used in the production of goods
- D.
A and B
- E.
B and C
- 6.Definition of Labor?
- A.
People with all of the efforts, abilities, and skills
- B.
The people who are for hire for work
- C.
People with all of the workmanship, skills, and work
- D.
The act of performing work at any given time
- 7.Definition of Entrepreneur?
- A.
A risk taker in search of profits who's initila investment must be returned
- B.
A investor in search of profits who does something new with existing resources
- C.
A investor in search of profits who's initial investment must be returned
- D.
A risk taker in search of profits who does something new with existing resources
- 8.What are the many payments for the factors of productions called?
- A.
Land - wages, labor - interest, capital - rent, entrepreneurs - profit
- B.
Land - rent, labor - wages, capital - interest, entrepreneurs - profit
- C.
Land - profit, labor - rent, capital - wages, entrepreneurs - interest
- D.
Land - interest, labor - rent, capital - profit, entrepreneurs - wages
- 9.What is opportunity cost?
- A.
The cost assosiated with any opportunity
- B.
Giving the cost in order to have the opportunity
- C.
The cost required in order to succeed
- D.
Giving something up to have something else
- 10.What is PPF?
- A.
Possible Production Frontier
- B.
Production Possibilities Frontier
- C.
Probable Projection Frontier
- D.
Projected Possibilities Frontier
- 11.On the PPF how can a nation achieve growth?
- A.
By having more resources or increased productivity
- B.
By having an increase in supply and demand
- C.
By having less resources or declined productivity
- D.
By having an increase in resources and decrease in productivity
- 12.What does a point inside the curve on a PPF represent?
- A.
Production at greater than its minimum potential
- B.
Production as less than its minimum potential
- C.
Production at greater than its maximum potential
- D.
Production as less than its maximum potential
- 13.What are the functions of the entrepreneur?
- A.
They provide the money necessary for the resources of land, labor, and capital
- B.
They provide the procedures that combines the resources of land, labor, and capital into new products
- C.
They provide the initiative that combines the resources of land, labor, and capital into new products
- D.
They provide the drive necessary for the resources of land, labor, and capital
- 14.Name three types of businesses
- A.
Traditional, command, market
- B.
Command, market, competitive
- C.
Traditional, market, competitive
- D.
Command, traditional, competitive
- 15.Name the types of businesses
- A.
Proprietorship, corporation, industrial
- B.
Partnership, industrial, commercial
- C.
Corporation, proprietorship, commercial
- D.
Proprietorship, partnership, corporation
- 16.What are the goals of the American Free Enterprise?
- A.
Economic freedom, voluntary exchange, private property rights, profit motive, and competition
- B.
Economic freedom, lack on monopolies, private property rights, profit motive, and competition
- C.
Economic freedom, voluntary exchange, prevailence of rights, profit motive, and competition
- D.
Economic freedom, voluntary exchange, private property rights, profit margain reduction, and competition
- 17.What is the law of demand?
- A.
Rule stating that the quantity demanded of a good or service does not vary with its availability
- B.
Rule stating that the quantity demanded of a good or service does not vary with its price
- C.
Rule stating that the quantity demanded of a good or service varies inversely with its availability
- D.
Rule stating that the quantity demanded of a good or service varies inversely with its price
- 18.What is the law of supply?
- A.
The principle that suppliers will normally offer less for sale at high prices and more at lower prices
- B.
The principle that suppliers will normally offer more for sale at high prices and less at lower prices
- 19.What causes the demand curve to shift?
- A.
The increase/decrease in need
- B.
The increase/decrease in volume
- C.
The increase/decrease in price
- D.
The increase/decrease in production
- 20.What causes the increase in supply?
- A.
The increase/decrease in demand
- B.
The increase/decrease in production
- C.
The increase/decrease in volume
- D.
The increase/decrease in price
- 21.What is Shortage?
- A.
A situation in which the quantity demanded is greater than the quantity supplied at a given price
- B.
A situation in which the quantity demanded is less than the quantity supplied at a given price
- C.
A situation in which the quantity demanded is not offered by the manufacturer
- D.
A situation in which the quantity demanded can not meet the supply provided
- 22.What is Surplus?
- A.
A situation in which the quantity supplied is not met by the manufacturer
- B.
A situation in which the quantity demanded is greater than the quantity demanded at a given price
- C.
A situation in which the quantity supplied is less than the quantity demanded at a given price
- D.
A situation in which the quantity supplied is greater than the quantity demanded at a given price
- 23.What is a price ceiling?
- A.
A minimum legal price in order to maintain agreement
- B.
A maximum legal price in order to maintain agreement
- C.
A maximum legal price that can be charged for a product
- D.
A minimum legal price that can be charged for a product
- 24.What is a price floor?
- A.
Highest legal price that can be paid for a good or service
- B.
Lowest legal price that can be paid for a good or service
- C.
Highest legal price that can be charged in order to maintain agreement
- D.
Lowest legal price that can be charged in order to maintain agreement
- 25.What is elastic?
- A.
When a given change in price causes a relatively larger change in quantity demanded
- B.
When a given change in quantity demanded causes a relatively larger change in price
- C.
When a given change in price causes a relatively smaller change in quantity demanded
- D.
When a given change in quantity demanded causes a relatively smaller change in price
Back to top