Abeka Economics Test 1 Questions Fully Solved & Updated 2024

Who wrote "The Wealth of Nations"? Adam smith Who used his resources wisely to make gunpowder for President Jefferson E. L. Du pont Brainpower Read More Previous Play Next Rewind 10 seconds Move forward 10 seconds Unmute 0:00 / 0:15 Full screen What type of economy is directed by suctoms and habits Traditional economy What type of economy is directed by government Command economy What type of economy is directed by an "invisible hand"? Free market economy What type of economy would a Communist-controlled counrtry have? Cammnd economy What type of good is a forklift that is used to transport imported goods within a warehouse Capital What type of good is a computer that is used for personal home use Consumer What term refers to a person that owns a share of some business that produces goods? Capitalist Who is the person that risks his investment of time and money in the management of an economic enterprise Entrepreneur Diligent work directed by ingenious intelligence allowed to develop under conditions of freedom is the true source of what? Prosperity True/false, all people are said to be (producers), or people who use goods. F. Consumer Ture/false, a (mixed) economy provides barely enough to keep a society alive. F. Subsistence True/false, (State capitalism is a system in which the governement controls most of the capital True True/false, when a country finds ways to produce more good from existing resources, the prosperity of the national economy (increases). True True/false, the prosperity and efficiency of the free market economy is owed ot its foundation of limited government, freedom of enterprise and competition, and (natural resources). F. Property rights True/False, the two entities that make the majority of the economy decisions in the free market are private (households) and private businesses. True True/False, Adam Smith stressed the importance of separting work into individualized tasks, an idea known as (division of labor). True True/False, the difference in value of goods that a country sells abroad compared to those it purchases from other countries is (purchasing) balance. F. Trade True/False According to economists, the factors of production are (scarce). True The study of specific components within a major economy Microeconomics The establishment of colonies to benefit a mother country Imperialism Mechanism throuhg which people exchange goods Market An intangible item for which people expect to pay Service Economic system which aimed to accumulate stockpiles of gold and silver Mercantilism The study of national economies Macroeconomics Material items for which people expect to pay Goods Refers to the quantitiy of a good for sale at a certain price under certain conditions Supply Seeks to show the relationships among the varioys components of an economy economic model The amount of a good that is bought at a certain price under certain conditions Demand The woth that consumers attach to a good Value What French phrase, often connected with economics, means "let things alone"? Laissez-faire Who were the French group of 18th-century economists who believed the market should be guided by the "the rule of nature"? Physiocrats Who was the founder of the Austrian school of economics? Carl menger What are taxes that government apply only to imported goods? Tarrif