Trivia: Economics Quiz For Students!

12 Questions | Total Attempts: 593

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Economics Quizzes & Trivia

An economic student has the power to help one utilize their resources in order to meet their unlimited wants. There are some different terms that an economics student can be expected to understand. This is an interactive quiz meant to build up your knowledge in Economics. If you are an economics student these are typical questions you will meet on your exams. Good luck!


Questions and Answers
  • 1. 
    Scarcity exists
    • A. 

      When people consume beyond their needs.

    • B. 

      Only in rich nations.

    • C. 

      In all countries in the world.

    • D. 

      Only in poor nations.

  • 2. 
    Which of the following would eliminate scarcity as an economic problem?
    • A. 

      Moderation of people’s competitive instincts.

    • B. 

      Discovery of large new energy reserves.

    • C. 

      Resumption of steady productivity growth.

    • D. 

      None of the above.

  • 3. 
    Which of the following is not a resource?
    • A. 

      Land

    • B. 

      Labor

    • C. 

      Money

    • D. 

      Capital

  • 4. 
    Economics is the study of
    • A. 

      How to make money

    • B. 

      How to operate a business

    • C. 

      People making choices because of the problem of scarcity

    • D. 

      The government decision-making process.

  • 5. 
    Microeconomics approaches the study of economics from the viewpoint of
    • A. 

      Individuals or specific markets

    • B. 

      The operation of the Federal Reserve

    • C. 

      Economy wide effects

    • D. 

      The national economy.

  • 6. 
    A review of the performance of the U.S. economy during the 1990’s is primarily the concern of
    • A. 

      Macroeconomics

    • B. 

      Microeconomics

    • C. 

      Both macroeconomics and microeconomics

    • D. 

      Neither macroeconomics nor microeconomics.

  • 7. 
    An economic theory claims that a rise in gasoline prices will cause gasoline purchases to fall, ceteris paribus. The phrase “ceteris paribus” means that
    • A. 

      Other relevant factors like consumer incomes must be held constant

    • B. 

      The gasoline prices must first be adjusted for inflation

    • C. 

      The theory is widely accepted, but cannot be accurately tested

    • D. 

      Consumers need for gasoline remains the same regardless of price.

  • 8. 
    An economist notices that sunspot activity is high just prior to recessions and concludes that sunspots cause recessions. The economist has
    • A. 

      Confused association with and causation

    • B. 

      Misunderstood the ceteris paribus assumption

    • C. 

      Used normative economics to answer a positive question

    • D. 

      Built an untestable model.

  • 9. 
    Which of the following is a statement of positive economics?
    • A. 

      The income tax system collects a lower percentage of the incomes of the poor

    • B. 

      A reduction in the tax rates of the rich makes the tax system more fair

    • C. 

      Tax rates ought to be raised to finance health care

    • D. 

      All of the above are primarily statements of positive economics.

  • 10. 
    Which of the following is a statement of positive economics?
    • A. 

      An unemployment rate of greater than 8 percent is good because prices will fall

    • B. 

      An unemployment rate of 7% is a serious problem

    • C. 

      If the overall unemployment rate is 7%, black unemployment rates will average 15%

    • D. 

      Unemployment is a more severe problem than inflation.

  • 11. 
    Which of the following is a statement of normative economics?
    • A. 

      The minimum wage is good because it raises wages for the working poor

    • B. 

      The minimum wage is supported by unions

    • C. 

      The minimum wage reduces jobs for less skilled workers

    • D. 

      The minimum wage encourages firms to substitute capital for labor

  • 12. 
    Select the normative statement that completes the following sentence: If the minimum wage is raised rapidly, then
    • A. 

      Inflation will increase

    • B. 

      Workers will gain their rightful share of total income

    • C. 

      Profits will fall

    • D. 

      Unemployment will rise.

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