PRE-ASSESSMENT D089 FINAL EXAM |COMPLETE AND GRADED QUESTIONS AND
ANSWERS 2026 LATEST UPDATED | 100% GRADED CORRECT | 100% GUARANTEED TO
PASS | GET A+
1. Which set of questions is answered when a society decides how to distribute
its scarce resources?: What, how, and for whom to produce goods and
services
2. A local government is making public policy decisions about spending funds.
The residents have differing opinions on whether the funds should be used
for road repair, school expansion, health care increases, or construction of a
senior center. The local government must decide the priority.
Which economic question is this decision an example of?: What to produce
3. A newspaper is trying to help citizens understand economic principles.
Which misconception should the article address?: Increasing the money
supply raises the standard of living for consumers in the long run.
4. Which scenario covers a topic included in microeconomics?: As a result of a
hard freeze, the price of cherries increases.
, 5. What accurately characterizes capital?: It can be in the form of intellectual
discoveries.
6. Why is the circular flow model used?: To describe the interaction of
businesses and households in markets
7. What is a result of increasing opportunity costs?: To produce more of one
good, the economy gives up more and more of other goods.
8. How would a production possibility frontier be drawn for an economy that
produces two goods with homogeneous resources?: As a constant slope,
downward from left to right
9. A company is operating at a point inside its production possibility frontier.:
The resources of the company are being inefficiently utilized.
10. A country produces two goods (A and B) and currently operates on the
bowed out production possibilities frontier. What is the relationship between
the productions of Good A and Good B?: If production of Good A increases,
then production of Good B will decrease.
ANSWERS 2026 LATEST UPDATED | 100% GRADED CORRECT | 100% GUARANTEED TO
PASS | GET A+
1. Which set of questions is answered when a society decides how to distribute
its scarce resources?: What, how, and for whom to produce goods and
services
2. A local government is making public policy decisions about spending funds.
The residents have differing opinions on whether the funds should be used
for road repair, school expansion, health care increases, or construction of a
senior center. The local government must decide the priority.
Which economic question is this decision an example of?: What to produce
3. A newspaper is trying to help citizens understand economic principles.
Which misconception should the article address?: Increasing the money
supply raises the standard of living for consumers in the long run.
4. Which scenario covers a topic included in microeconomics?: As a result of a
hard freeze, the price of cherries increases.
, 5. What accurately characterizes capital?: It can be in the form of intellectual
discoveries.
6. Why is the circular flow model used?: To describe the interaction of
businesses and households in markets
7. What is a result of increasing opportunity costs?: To produce more of one
good, the economy gives up more and more of other goods.
8. How would a production possibility frontier be drawn for an economy that
produces two goods with homogeneous resources?: As a constant slope,
downward from left to right
9. A company is operating at a point inside its production possibility frontier.:
The resources of the company are being inefficiently utilized.
10. A country produces two goods (A and B) and currently operates on the
bowed out production possibilities frontier. What is the relationship between
the productions of Good A and Good B?: If production of Good A increases,
then production of Good B will decrease.
