Economics Europe Question Preview (ID: 39815)


Types Of Economies, Trade, Types Of Economies, And Economics 101. TEACHERS: click here for quick copy question ID numbers.

United Kingdom, Russia, and Germany all have__________________.
a) command economies
b) mixed economies
c) economies free of government control
d) healthcare run by private businesses

After Halloween a store still has extra candy to sell. The supply is too high, and demand is low. What can the store do to increase the demand and sell the candy?
a) lower the price of the candy
b) raise the price of the candy
c) find even more candy to sell
d) none of the choices

The ____ of a decision is the value of the good or service given up.
a) efficiency
b) opportunity cost
c) scarcity
d) economics

In a command economy, citizens_______________.
a) have the personal freedom to purchase new land and own businesses
b) can control the private ownership of their property
c) base their economic decisions on traditional gender roles
d) must follow the economic plan created by the government

An entrepreneur must ___________________________.
a) be willing to take financial risks
b) have mix of human, natural, and capital resources to be successful
c) have great ideas
d) all of the choices

Trade barriers come in the form of_______________.
a) embargoes
b) tariffs
c) imports
d) embargoes and tariffs

Which statement describes a traditional economy?
a) The government owns the means of production.
b) People usually produce only what they need.
c) A monarch decides who produces what and how much.
d) Only entrepreneurs are allowed to export foreign goods.

Volkswagon buikds a new factory. This is an example of investment in ...
a) human resources
b) human capital
c) capital goods
d) natural resources

Which of the following statements about the use of resources is not one of the questions of production?
a) How are resources used?
b) Where are resources used?
c) For what are resources used?
d) For whom are resources used?

Which of the following is an example of portfolio investment?
a) An American places funds in a savings account in the United Kingdom.
b) Swiss Bank buys Union Bank of the United States.
c) An American puts $10,000 into a money market fund.
d) All of the choices.

The amount of a product you have is called?
a) supply
b) demand
c) capital
d) budget

Someone who makes something to buy and sell is called...
a) producer
b) consumer
c) production
d) trade

The person or party that purchases the products is called...
a) producer
b) consumer
c) production
d) trade

A great variety of goods and services is characteristic of _______________.
a) a traditional economy.
b) a market economy.
c) a command economy.
d) all economic systems.

North Korea is an example of____________________________.
a) free enterprise.
b) a market economy.
c) capitalism.
d) a command economy.

Which group of people determines the products that a free enterprise economy produces?
a) Congress
b) property owners
c) consumers
d) local officials

An economic system is successful when it______________________________.
a) controls government agencies.
b) maintains normal unemployment levels.
c) creates a large number of wealthy people.
d) satisfies the needs of its people.

Changes in a market economy tend to be__________________________.
a) prohibited.
b) slow.
c) rapidly occurring.
d) discouraged.

Which type of trade barrier involves a limit on imports?
a) embargoes
b) quota
c) tariff
d) voluntary exchange

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