Economics Exam Study Review Questions
and Answers Verified by Expert
Economics is about - Answer Choice people make to satisfy their needs and wants
Food, clothing, and shelter are examples of human - Answer need
A resource is - Answer materials that are needed by a producer to make a good or service
the buildings, structures, machinery, and tools used in the production process are called - Answer capital
resources
an entrepreneur is a - Answer person who is willingly risk failure to start a new business or introduce a
new product
The basic fact of economic life is - Answer scarcity
You are in the clothing store. You see a pair of pants and a T-shirt that you like. However, you have
only enough money for one item of clothing. You decide to buy the pants. What is the opportunity cost
of your choice? - Answer first item over the second item
an accepted medium of exchange is known as - Answer money
the term that means a consumer can use an item before they have completely paid for it is - Answer
credit
in truth, all economies today are - Answer mixed economies
in which economic system are the answers to the basic economic questions determined by custom -
Answer traditional system
, the economic system in which the basic economic questions are answered by government planners are
called a - Answer command planned system
economic system be individuals answer the basic economic questions - Answer market system
according to Adam Smith, the invisible hand that helps guide the economy is - Answer self-interest acts,
free market
ownership of private property is a characteristic of - Answer free enterprise, mixed market economy
making the best use of scarce resources is called economic - Answer efficiency
the two concerns of the goal of economic stability are - Answer full employment and stable prices
in economics, the amount of a product a consumer is willing and able to buy at various possible prices
during a given time is called - Answer demand
the tendency of consumers to replace a relatively more expensive product with a similar, lowered price
product is called - Answer substitution effect
satisfaction a consumer receives from consuming a product is - Answer utility
if the price of butter Rises, what will happen to the demand for substitute Goods, such as margarine? -
Answer will rise, increase
construction of new houses increases. What will happen to demand for such complementary Goods as
Timber, paint, and paint brushes? - Answer increase
when the price of a good or service is too low, the result will be - Answer shortage
and Answers Verified by Expert
Economics is about - Answer Choice people make to satisfy their needs and wants
Food, clothing, and shelter are examples of human - Answer need
A resource is - Answer materials that are needed by a producer to make a good or service
the buildings, structures, machinery, and tools used in the production process are called - Answer capital
resources
an entrepreneur is a - Answer person who is willingly risk failure to start a new business or introduce a
new product
The basic fact of economic life is - Answer scarcity
You are in the clothing store. You see a pair of pants and a T-shirt that you like. However, you have
only enough money for one item of clothing. You decide to buy the pants. What is the opportunity cost
of your choice? - Answer first item over the second item
an accepted medium of exchange is known as - Answer money
the term that means a consumer can use an item before they have completely paid for it is - Answer
credit
in truth, all economies today are - Answer mixed economies
in which economic system are the answers to the basic economic questions determined by custom -
Answer traditional system
, the economic system in which the basic economic questions are answered by government planners are
called a - Answer command planned system
economic system be individuals answer the basic economic questions - Answer market system
according to Adam Smith, the invisible hand that helps guide the economy is - Answer self-interest acts,
free market
ownership of private property is a characteristic of - Answer free enterprise, mixed market economy
making the best use of scarce resources is called economic - Answer efficiency
the two concerns of the goal of economic stability are - Answer full employment and stable prices
in economics, the amount of a product a consumer is willing and able to buy at various possible prices
during a given time is called - Answer demand
the tendency of consumers to replace a relatively more expensive product with a similar, lowered price
product is called - Answer substitution effect
satisfaction a consumer receives from consuming a product is - Answer utility
if the price of butter Rises, what will happen to the demand for substitute Goods, such as margarine? -
Answer will rise, increase
construction of new houses increases. What will happen to demand for such complementary Goods as
Timber, paint, and paint brushes? - Answer increase
when the price of a good or service is too low, the result will be - Answer shortage
