PLATO Economics End of Semester Test
2023-2024 Questions & Answers 100%
Correct
absolute advantage - ANSWER-the advantage gained when a country's per-unit
production cost is lower than that of other countries
acceptability - ANSWER-the property of a good or service being universally acceptable
in an economy
allocation of resources - ANSWER-the distribution of available resources according to
the demands and needs of society
appreciation - ANSWER-an increase in a currency's value
Asia-Pacific Economic Cooperation (APEC) - ANSWER-an economic forum with 21
members that promotes free trade
assembly line - ANSWER-a manufacturing process in which product parts pass through
a series of machines (or workers) that assemble them into a final product
barrier to entry - ANSWER-an obstacle that prevents competition from entering the
market
Board of Governors - ANSWER-a seven-member board that oversees the Federal
Reserve System
budget deficit - ANSWER-a situation in which the government's expenditures exceed its
revenue
budget surplus - ANSWER-a situation in which the government's revenue exceeds its
expenditures
capital - ANSWER-the buildings, equipment, and human skills used to produce goods
and services
cartel - ANSWER-a formal organization of companies that collectively coordinates
production and price
, central bank - ANSWER-the bank that implements a government's monetary policy and
regulates commercial banks
circular flow model - ANSWER-a model that explains the flow of goods, services, and
money in an economy
collective bargaining - ANSWER-negotiations between an employer and representatives
of the employees
collusion - ANSWER-a secret agreement to set production and price limits
command economy - ANSWER-a situation in which allocation and distribution of
resources are controlled solely by the government
commodity money - ANSWER-an object that has value in itself and can also be used as
money
communism - ANSWER-an economic and social system in which private ownership is
completely eliminated and society collectively owns the rights to all resources
comparative advantage - ANSWER-the advantage gained when a country produces
goods and services at lower opportunity cost than other countries in the market
competition - ANSWER-a situation in which a person strives to perform better and be
more successful than someone else
complementary good - ANSWER-a good used with another good or service
consumer sovereignty - ANSWER-the control that consumer preference exercises over
the production of goods and services
contractionary fiscal policy - ANSWER-a decrease in government expenditures, an
increase in taxes, or both enacted for the benefit of the economy
corporation - ANSWER-a business entity whose rights and liabilities are separate from
its shareholders and members
credit card - ANSWER-a card used to buy goods and services on credit based on the
holder's promise to pay for these goods and services plus the interest charged if the
balance is not paid each month
credit - ANSWER-money borrowed with a promise to pay it back later with interest
cultural imperialism - ANSWER-when one country imposes its culture on another
country or society
2023-2024 Questions & Answers 100%
Correct
absolute advantage - ANSWER-the advantage gained when a country's per-unit
production cost is lower than that of other countries
acceptability - ANSWER-the property of a good or service being universally acceptable
in an economy
allocation of resources - ANSWER-the distribution of available resources according to
the demands and needs of society
appreciation - ANSWER-an increase in a currency's value
Asia-Pacific Economic Cooperation (APEC) - ANSWER-an economic forum with 21
members that promotes free trade
assembly line - ANSWER-a manufacturing process in which product parts pass through
a series of machines (or workers) that assemble them into a final product
barrier to entry - ANSWER-an obstacle that prevents competition from entering the
market
Board of Governors - ANSWER-a seven-member board that oversees the Federal
Reserve System
budget deficit - ANSWER-a situation in which the government's expenditures exceed its
revenue
budget surplus - ANSWER-a situation in which the government's revenue exceeds its
expenditures
capital - ANSWER-the buildings, equipment, and human skills used to produce goods
and services
cartel - ANSWER-a formal organization of companies that collectively coordinates
production and price
, central bank - ANSWER-the bank that implements a government's monetary policy and
regulates commercial banks
circular flow model - ANSWER-a model that explains the flow of goods, services, and
money in an economy
collective bargaining - ANSWER-negotiations between an employer and representatives
of the employees
collusion - ANSWER-a secret agreement to set production and price limits
command economy - ANSWER-a situation in which allocation and distribution of
resources are controlled solely by the government
commodity money - ANSWER-an object that has value in itself and can also be used as
money
communism - ANSWER-an economic and social system in which private ownership is
completely eliminated and society collectively owns the rights to all resources
comparative advantage - ANSWER-the advantage gained when a country produces
goods and services at lower opportunity cost than other countries in the market
competition - ANSWER-a situation in which a person strives to perform better and be
more successful than someone else
complementary good - ANSWER-a good used with another good or service
consumer sovereignty - ANSWER-the control that consumer preference exercises over
the production of goods and services
contractionary fiscal policy - ANSWER-a decrease in government expenditures, an
increase in taxes, or both enacted for the benefit of the economy
corporation - ANSWER-a business entity whose rights and liabilities are separate from
its shareholders and members
credit card - ANSWER-a card used to buy goods and services on credit based on the
holder's promise to pay for these goods and services plus the interest charged if the
balance is not paid each month
credit - ANSWER-money borrowed with a promise to pay it back later with interest
cultural imperialism - ANSWER-when one country imposes its culture on another
country or society
