Economics - The Business Cycle
.
- 1.People or groups who combine resources to make goods or services are called:
- A.
Producers
- B.
Consumers
- C.
Capital
- 2.This is what is given up when an economic decision is made.
- A.
Opportunity Cost
- B.
Scarcity
- C.
Good
- D.
Supply
- 3.The condition that results from unlimited economic wants and limited resources is called:
- A.
Scarcity
- B.
Opportunity Cost
- C.
Demand
- D.
Supply
- 4.People who use resources, goods, or services to satisfy their economic wants are:
- A.
Consumers
- B.
Producers
- C.
Entrepreneurs
- 5.The quantities of resources, goods, or services that will be PURCHASED at a various prices is the:
- A.
Demand
- B.
Supply
- C.
Scarcity
- 6.The quantities of resources, goods, or services that are OFFERED for sale is the:
- A.
Supply
- B.
Demand
- C.
Scarcity
- 7."Inflation not expected to be a problem this year." The headline above affects which economic indicator the most?
- A.
Consumer Price Index
- B.
Gross Domestic Product
- C.
Unemployment Statistics
- 8."Enron Corporation Fires 5,000 Employees"The headline above affects which economic indicator the most?
- A.
Unemployment statistics
- B.
Consumer Price Index
- C.
Gross Domestic Product
- 9.'Ford to produce fewer sports utility vehicles (SUVs) this year' The headline above affects which economic indicator the most?
- A.
Gross Domestic Product
- B.
Unemployment Statistics
- C.
Consumer Price Index
- D.
Option 4
- 10.'Prices for consumer goods down 5% this year!' The headline above affects which economic indicator the most?
- A.
Consumer price index
- B.
Gross Domestic Product
- C.
Unemployment statistics
- 11.'Business investment in capital goods (machinery for production) rises.' The headline above affects which economic indicator the most?
- A.
Gross Domestic Product
- B.
Consumer Price Index
- C.
Unemployment Statistics
- 12.'More opportunities for recent graduates to find jobs!' The headline above affects which economic indicator the most?
- A.
Unemployment statistics
- B.
Gross Domestic Product
- C.
Consumer Price Index
- 13.Fiscal policy is controlled by the President and Congress
- A.
True
- B.
False
- 14.Open-Market Operations involves the Federal Reserve buying and selling bonds.
- A.
True
- B.
False
- 15.This economic problem refers to the overall increase in price level.
- A.
Inflation
- B.
Unemployment
- C.
Hyperflation
- D.
Deflation
- 16.Who is included in the unemployment rate?
- A.
Those who are actively seeking work but cannot find a job
- B.
Part time workers who wish to work full time
- C.
Those who have given up in looking for a job
- D.
The retired
- 17.
![The picture above is mainly concerned with: - ProProfs]( "The picture above is mainly concerned with:")
The picture above is mainly concerned with:- A.
How the economy has grown throughout the years
- B.
The tax revenues of the country
- C.
The price of consumer goods
- D.
The tariffs placed on imports
- 18."Unemployment at an all time high!"Which of these would be an example of proper fiscal policy in this situation?
- A.
Lowering taxes and increasing government spending
- B.
Raising taxes and decreasing government spending
- C.
Raising the discount rate offered to banks
- 19."United States sets a high tax on imported oil!"Which of these would be a reason why the U.S. create this policy?
- A.
To protect the U.S. oil industry
- B.
To decrease the cost of oil
- C.
To allow for free trade of oil
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