Can You Pass This Basic Economics Test? Quiz

  • AP Economics
  • IB Economics
Reviewed by Editorial Team
The ProProfs editorial team is comprised of experienced subject matter experts. They've collectively created over 10,000 quizzes and lessons, serving over 100 million users. Our team includes in-house content moderators and subject matter experts, as well as a global network of rigorously trained contributors. All adhere to our comprehensive editorial guidelines, ensuring the delivery of high-quality content.
Learn about Our Editorial Process
| By Cha24ampong
C
Cha24ampong
Community Contributor
Quizzes Created: 4 | Total Attempts: 13,255
| Attempts: 1,094 | Questions: 11
Please wait...
Question 1 / 11
0 %
0/100
Score 0/100
1. 3. Opportunity cost is the

Explanation

C. Opportunity cost is that which is given up in the best alternative, not that which is paid in money for the good bought.

Submit
Please wait...
About This Quiz
Can You Pass This Basic Economics Test? Quiz - Quiz

Some people want to seek a career in economics but do know much, especially when it comes to the basics of this study. This is an online interactive quiz in Economics meant to test your knowledge in Economics as well as give you extra knowledge in the subject. Take it... see moreup and see if you can pass it with ease or might need some more practice before the exam comes. see less

Tell us your name to personalize your report, certificate & get on the leaderboard!
2. 5. If a farmer adds 1 pound of fertilizer per acre, the value of the resulting crops rises from $80 to $100 per acre. According to marginal analysis, the farmer should add fertilizer if it costs less than

Explanation

B. As long as the fertilizer costs less than $20 per pound, the farmer will gain more by fertilizing then he or she will lose by the expense of the fertilizer.

Submit
3. 9. Along a production possibilities curve, an increase in the production of one good can be accomplished only by

Explanation

A. Along the production possibilities curve, there are no unemployed resources. Therefore, in order to produce more of one product, units of the other product must be given up.

Submit
4. 1. Which of the following decisions must be made by all economies?

Explanation

C. Regardless of the size of wealth of a nation, it must choose a system to answer these three basic questions

Submit
5. 7. Any point inside the production possibilities curve is a (an)

Explanation

C. While operating within the boundaries of the production possibilities curve, more of both goods can be attained if efficiency is improved. However, points beyond the curve are not possible without an increase in resources or technological advance.

Submit
6. 10. Education and training that improve the skill of the labor force are represented on the production possibilities curve by a (an)

Explanation

C. Investment in human capital enhances people’s ability being able to more effectively use the economy’s capital and push the production possibilities curve outward where more units of both products can be attained.

Submit
7. A nation can accelerate its economic growth by

Explanation

B. By increasing its stock of capital a nation can increase its productivity.

Submit
8. 2. The student who has one evening in which to prepare for two exams on the following day has the following two alternatives:                Possibility     Score in Economics     Score in Accounting                        A                           95                                 80                        B                           80                                 90                        A                           95                                 80                        B                           80                                 90 The opportunity cost of receiving 90, rather than 80, on the accounting exam is represented by how many points on the economic exam?

Explanation

A. By spending more time studying for accounting and therefore spending less time studying for the economics exam, 15 points on the economics exam are given up.

Submit
9. 10. Education and training that improve the skill of the labor force are represented on the production possibilities curve by a (an)

Explanation

C. Investment in human capital enhances people’s ability being able to more effectively use the economy’s capital and push the production possibilities curve outward where more units of both products can be attained.

Submit
10. 8. Using a production possibilities curve, unemployment is represented by a point located

Explanation

E. Any point underneath the production possibilities curve indicates that the economy’s resources are not being used efficiently, including labor.

Submit
11. 4. On a production possibilities curve, the opportunity cost of more units of
    good  A in terms of units of   
    good B is represented by

 

Explanation

C. While operating within the boundaries of the production possibilities curve, more of both goods can be attained if efficiency is improved. However, points beyond the curve are not possible without an increase in resources or technological advance.

Submit
View My Results

Quiz Review Timeline (Updated): Mar 20, 2023 +

Our quizzes are rigorously reviewed, monitored and continuously updated by our expert board to maintain accuracy, relevance, and timeliness.

  • Current Version
  • Mar 20, 2023
    Quiz Edited by
    ProProfs Editorial Team
  • Apr 12, 2010
    Quiz Created by
    Cha24ampong
Cancel
  • All
    All (11)
  • Unanswered
    Unanswered ()
  • Answered
    Answered ()
3. Opportunity cost is the
5. If a farmer adds 1 pound of fertilizer per acre, the value of the...
9. Along a production possibilities curve, an increase in the...
1. Which of the following decisions must be made by all economies?
7. Any point inside the production possibilities curve is a (an)
10. Education and training that improve the skill of the labor force...
A nation can accelerate its economic growth by
2. The student who has one evening in which to prepare for two exams...
10. Education and training that improve the skill of the labor force...
8. Using a production possibilities curve, unemployment is represented...
4. On a production possibilities curve, the opportunity cost of more...
Alert!

Advertisement