Economics Chapter 19 Question Preview (ID: 42465)


Business In America. TEACHERS: click here for quick copy question ID numbers.

A sole propriatorship is
a) is a business owned by 4 people
b) is a business owned by one person
c) is a business that fails
d) is a business that will fail

Liability means
a) the business lied
b) liars
c) that people go to the library
d) legal responsibility for a business

Which is NOT a type of business
a) sole proprietorships
b) partnership
c) corporation
d) schools

What is the biggest advantage that partnerships have over sole propritorships
a) have little money
b) can hire any one
c) can raise more money
d) don't have to pay taxes

A corporation is
a) a business that is owned by a group of people and operates under a license
b) a business owned by 1 person
c) a person who provides goods or services
d) a business owned by 2 people

a labor union is
a) a business
b) an organization of workers that seeks to improve wages and working conditions
c) a failed business
d) a tax free store

A private good is
a) a product that people must buy in order to use/own them
b) is used by more than one person
c) is a public good
d) is an externality

a public good is
a) cannot be shared
b) is a type of meal
c) a good/service that can be used by more than one person for example the sidewalk
d) not government funded

Which is NOT an example of a PRIVATE good
a) sidewalks
b) meals
c) drinks
d) clothes

externalities are
a) a byproduct
b) an economic side effect that affects an un-involved 3rd party
c) positive
d) negative

Public goods often produce positive externalities. Which is an example of one?
a) air pollution
b) acid rain
c) Roads
d) breathing problems caused by pollution

A negative externality result from
a) an action that has harmful side effects
b) negative feedback from the public
c) people not voting
d) people spending too much money

A monopoly is
a) made up of 4 companies
b) a game you always win
c) the sole provider for a good or service
d) a game that takes forever to play

the goal of Antitrust laws is to
a) control monopoly power and to preserve and promote competition
b) expand monopolies
c) control Congress' spending
d) control the public's spending

Real GDP
a) Is not a good measure of an economy's performance
b) doesn't tell us anything
c) is GDP after the distortions caused by price increases have been removed.
d) is the real GOAT

Which is NOT a reason for economic inequality in the US?
a) Education
b) Family Wealth
c) Discrimmination
d) Type of clothes you wear

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